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HomeMy WebLinkAboutAgenda - 05-17-2016 - 5-a - Minutes 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: May 17, 2016 Action Agenda Item No. 5-a SUBJECT: MINUTES DEPARTMENT: Board of County Commissioners ATTACHMENT(S): INFORMATION CONTACT: Draft Minutes Donna Baker, Clerk to the Board (919) 245-2130 PURPOSE: To correct and/or approve the minutes as submitted by the Clerk to the Board as listed below. BACKGROUND: In accordance with 153A-42 of the General Statutes, the Governing Board has the legal duty to approve all minutes that are entered into the official journal of the Board's proceedings. April 12, 2016 BOCC Work Session April 19, 2016 BOCC Regular Meeting April 26, 2016 BOCC Joint Meeting with School Boards FINANCIAL IMPACT: NONE SOCIAL JUSTICE IMPACT: NONE RECOMMENDATION(S): The Manager recommends the Board approve minutes as presented or as amended. 1 1 Attachment 1 2 3 DRAFT MINUTES 4 BOARD OF COMMISSIONERS 5 Work Session 6 April 12, 2016 7 7:00 p.m. 8 9 10 The Orange County Board of Commissioners met in a work session on Tuesday, April 12, 2016 11 at 7:00 p.m. at the Whitted Building, Hillsborough, N.C. 12 13 COUNTY COMMISSIONERS PRESENT: Chair McKee and Commissioners Mia Burroughs, 14 Mark Dorosin, Barry Jacobs, Bernadette Pelissier, Renee Price and Penny Rich 15 COUNTY COMMISSIONERS ABSENT: 16 COUNTY ATTORNEYS PRESENT: James Bryan 17 COUNTY STAFF PRESENT: County Manager Bonnie Hammersley, Deputy Manager Travis 18 Myren and Clerk to the Board Donna Baker (All other staff members will be identified 19 appropriately below), Jeff Thompson and Paul Laughton 20 ORANGE COUNTY SCHOOLS: Chair Donna Coffey, Vice Chair Brenda Stephens, Pam Jones 21 and Superintendent Todd Wirt 22 CHAPEL HILL CARRBORO CITY SCHOOLS: Chair James Barrett, Vice Chair Annetta 23 Streater, Todd LoFrese, and Superintendent Tom Forcella 24 25 Chair McKee called the meeting to order at 7:04 p.m. 26 27 Chair McKee said at their places are the Orange County Schools (OCS) responses to 28 Board questions and revised hand out and the Chapel Hill — Carrboro City Schools (CHCCS) 29 responses to Board questions. 30 Chair McKee said the Governor issued an executive order today in reference to HB2 31 and it is unknown what effect this will have on the legislation moving forward. 32 Bonnie Hammersley referred to the slide from April 7th work session on the School CIP 33 which was in regard to the schools' capital projects. She said this is consistent with previous 34 years and does not include bond funding. 35 Paul Laughton, Finance and Administrative Services, reviewed each line item: total- 36 $7,716,500. 37 Paul Laughton said the largest item is the Pay as You Go (PAYG) funds at $3,799,346. 38 He said the CHCCS PAYG portion is $2.3 million for electrical, safety, water quality, and 39 technology. He said the OCS portion is $1.48 million, and includes categories such as 40 athletics, fire safety, food services, roofing projects, and security, etc. 41 Paul Laughton said Lottery Proceeds are additional PAYG funding, totaling $1.3 million. 42 He said the CHCCS portion is $828,000 for ADA, maintenance, etc., and the OCS portion is 43 $528,000 for classroom building improvements, etc. He said the Article 46 Sales Tax totals 44 $1.4, with the CHCSS portion being $842,000 for mechanical systems and technology, and the 45 OCS portion being $558,000 for technology, which is consistent with past spending. 46 Paul Laughton said there is $1 million in the Capital Investment Plan (CIP), for the next 47 five years, for Older School Improvements. He said by ADM, the total for CHCCS is $610,700 48 for the Chapel Hill High School renovation, and $389,000 for OCS for classroom building 49 improvements and food services. 2 1 Paul Laughton said all of the aforementioned funds are outside of any potential bond 2 funds. 3 4 1) Review Chapel Hill Carrboro City Schools (CHCCS) and Orange County Schools 5 (OCS) Priorities for the Potential Bond Referendum Funds 6 7 Bonnie Hammersley said this evening is an opportunity for the schools to report on the 8 prioritization of their capital projects. 9 Pam Jones reviewed the updated OCS hand out at the Commissioners' places: 10 11 OCS Facility Recommendations 12 • 2013 Facilities Assessment reflected needed repairs/replacements/additions in excess 13 of $160M as of the date of the assessment. 14 • OCS receives approximately $2.6M for capital funding annually. 15 • Of the $160 million overall needs, OC Board of Education prioritized projects in the 16 following categories assuming approximately $50 Million would be made available 17 through bond proceeds or other cost sharing arrangements: 18 o Safety; 19 o Critical infrastructure projects whose cost would exceed CIP funding capabilities, 20 including roof replacement and replacement of antiquated and failing mechanical 21 systems in some schools; 22 o Cedar Ridge High School (CRHS) classroom wing addition; 23 o Replacement of Transportation facilities. 24 25 • Phase 1 projects per the attached sheet represent those for which 2016 bond funding 26 would be utilized. 27 • To the extent they are available, School Construction Impact Fees are requested for 28 project planning to ensure "shovel-ready" status. 29 • Unfunded projects would be addressed as future allocations allowed. 30 • Based on approved CAP Certificates to date, OCS has adequate elementary and middle 31 school capacity for the current 10-year CIP period. However, two major developments in 32 the Town of Hillsborough are likely to significantly diminish the capacity within a 33 relatively short time period. For that purpose, Elementary#8 has been included as a 34 Phase III project. The Cedar Ridge classroom addition will address the needed high 35 school capacity, which is projected to reach SAPFO capacity by 2022. A 36 planning/constructing/opening period of approximately three years is anticipated. District 37 leadership remains concerned that the 110% high school capacity upon which SAPFO is 38 built is no longer a viable and safe level of occupancy and would request the County's 39 review over the next year. 40 • Replacement and consolidation of Transportation facilities is included in the OCS Phase 41 1 request, but is envisioned as a joint project with CHCCS. OCS is the recognized LEA 42 for Transportation for both OCS and CHCCS (State only recognizes one per County). 43 The 1950's vintage Transportation facilities for both CHCCS and OCS are woefully 44 inadequate. Some buses will not fit and still close the bay doors, for example. 45 • Potential bond funds will allow OCS to divert future pay-as-you-go CIP funds to other 46 critical projects addressed in the Facilities Assessment, but not included in Phase 1 47 bond funding. 48 49 Commissioner Rich asked if the changes between the original OCS recommendations, 50 and the updated version being presented this evening, could be highlighted. She also asked if 3 1 the transportation component of the recommendations could be explained, including how much 2 each school district will be contributing. 3 Pam Jones said the OCS Board of Education (BOE)went through priorities based on 4 the completed study of its facilities. She said items were prioritized as a 1, 2, or 3. She said 5 the BOE decided to focus only on items prioritized as a 1 or 2, such as the HVAC systems. 6 She said there are some deficiencies in the facilities that need upgrading for safety purposes. 7 She said the bond proceeds that each district would receive were realigned, and it was 8 determined what could be funded separately from that. She said this change is reflected in the 9 revised document. She said Grady Brown Elementary is in need of roof repairs, but with those 10 repairs comes asbestos abatement, which simply cannot be funded by the regular CIP 11 allotment. 12 Pam Jones said both districts are still working to finalize the transportation figures. She 13 said part of the question remains based on the site that is chosen, as this will affect the cost. 14 She said CHCCS plans to allocate its portion of the $1 million to this project, but it is not yet 15 known if this will be sufficient, as the plans are not yet finalized. 16 Commissioner Rich said the $52.6 million is more than the schools will get from bond 17 funds, and she asked if priorities will have to again be reviewed. 18 Pam Jones said part of the costs will be offset by CHCCS. She said there is some 19 latitude in some of these projects, with HVAC for example. 20 Commissioner Price asked if the removal of the food service projects means these 21 projects will no longer be accomplished. 22 Pam Jones said these projects have been incorporated in various CIP funding sources. 23 Commissioner Pelissier said the high school capacity is no longer viable, according to 24 the hand out. She asked if this has been discussed with CHCCS. 25 Pam Jones said when SAPFO was created when the world was different, and she said 26 they are asking to look at 107 for middle schools and 110 capacity for the high schools to see if 27 these numbers can be lowered. 28 Commissioner Pelissier referred for the Cedar Ridge High School classroom wings, and 29 asked if there is a process to determine size. 30 Pam Jones said part of this is determined by the school construction standards, which 31 designates this as a 1,500 capacity high school. She said it was sized as such in the original 32 master plan which has been adhered to. 33 Commissioner Dorosin asked if there is a timeline for building a transportation facility 34 and if there is a plan for the existing facility. 35 Pam Jones said the older transportation facility may be used for storage of buses. She 36 said the delay of the transportation facility is the lack of land. She said Chatham County has a 37 good model, which was constructed in about 18 months. She said the first priority is the HVAC 38 at Orange High School, then Cedar Ridge, and then a transportation facility. 39 Chair McKee referred to the capacity for Cedar Ridge High School (CRHS) and asked if 40 the upcoming SAPFO calls for an expansion. 41 Paul Laughton said there is nothing in the SAPFO right now. 42 Donna Coffey said OCS has to contend with growth as well, and the SAPFO does not 43 include Mebane. She said the SAPFO projections are understated since so much development 44 is forthcoming. 45 Commissioner Burroughs said SAPFO is based on current student numbers as well as 46 the past five years. She said when new developments are built in the CHCCS district, the 47 SAPFO numbers do not reflect these until the students show up in the schools. 48 Donna Coffey said it is a bit different because there has always been growth in the 49 Chapel Hill area, which is not the case historically in Mebane or Hillsborough. 4 1 Commissioner Burroughs referred to the CRHS project, and asked if the SAPFO 2 numbers remain fairly flat, would OCS possibly delay this project. 3 Pam Jones said yes, but two major developments have been approved in the 4 Hillsborough area, and while elementary capacity can be maneuvered around, high school 5 capacity cannot. She said these developments will be both single family and multiple family 6 housing. She said it takes about three years for the developments to move from shovel ready 7 to occupation. 8 Chair McKee said to use the Collins Ridge development as an example, and asked how 9 quickly the SAPFO numbers would reflect the growth. He asked if the capacity demand does 10 not come to fruition, would OCS move some Phase 2 projects forward and the CRHS project 11 move back. 12 Donna Coffey said that is a discussion the OCS board would have to have. 13 Pam Jones said there is enough flexibility to complete the design for CRHS and then 14 manipulate the projects if need be. 15 Commissioner Jacobs referred to the Collins Ridge development, and asked if the 16 potential population impact would be felt more at the high school level than the elementary 17 level, due to available capacity at the elementary level. 18 Pam Jones said there is more flexibility because there is more capacity in the 19 elementary schools and middle schools, but not in the high schools. 20 Commissioner Jacobs asked if re-districting is anticipated. 21 Donna Coffey said this discussion has yet to occur. 22 Commissioner Jacobs asked if it is known when redistricting was last discussed. 23 Donna Coffey said at least six years ago. 24 Commissioner Jacobs asked if there is a felt need to put the new transportation facility 25 close to the present one. 26 Pam Jones said it should be near the center of Orange County, so that both school 27 districts can have access. 28 29 CHCCS 30 Tom Forcella said this discussion began over four years ago regarding new buildings, 31 and the conversation turned to the dire needs of the older facilities, then turned again to the 32 "what ifs" and what may be possible with the older buildings to improve safety, and also 33 increase capacity. He said it is clear that all needs cannot be met at one time, and CHCCS 34 supports a long-range approach and vision for its older schools. 35 Todd LoFrese reviewed the following PowerPoint presentation: 36 37 Older Facility Recommendations and the 2016-26 CIP Key Elements of Older Facility 38 Recommendations 39 (included in the 2016-26 CIP Recommendations) 40 41 • The recommendations are for a comprehensive program that focuses on the district's 10 42 oldest schools. 43 • Facility recommendations include: 44 o correction of building code violations; 45 o improved safety by consolidating operations and controlling entry; 46 o indoor air quality deficiencies and health concerns addressed; 47 o replacement of malfunctioning mechanical equipment; 48 o relief of traffic congestion problems and providing pedestrian access; 49 o deconstruction of some inefficient buildings; 50 o accessibility for all students and staff; 5 1 o extending the life of the schools an additional 50 years; and 2 o providing educational facilities that meet Orange County school construction 3 standards. 4 • Implementation of the recommendations eliminate mobile classrooms (also in need of 5 renovations)while providing additional student capacity. 6 o Elementary school capacity increase = 555. 7 o High school capacity increase = 155. 8 • Increased student capacity would result in deferment of new elementary school and high 9 school additions well beyond the 10-year CIP window. 10 o Delays nearly $57.6 million in projected capital 11 expenditures. 12 o Delays significant operational increases with opening a new school. 13 • Bond funds and future capital funds directed to the 10 oldest schools will make available 14 CIP (Paygo) revenue for needed maintenance at district's "newer" schools that are 20- 15 30 years of age. 16 17 Phase 1 Projects Rationale 18 19 Chapel Hill High School 20 • significant disrepair and deferred maintenance 21 • building has chronic flooding, moisture and mold issues 22 • inadequate educational spaces, including severely antiquated science labs 23 • academic building needs complete replacement 24 • the entire campus HVAC system needs replacement 25 • profound security concerns including: multiple access points, outdated security 26 system, and hard to monitor entrances 27 • major traffic and pedestrian conflicts that cause congestion, busing delays, and 28 safety issues 29 • pervasive ADA issues throughout the campus 30 • scale of project requires significant financial investment (bond appropriate) 31 32 Glenwood Elementary School 33 • provides a solution to continue safe operations for the next 10 years 34 • addresses safety and security concerns by providing a secure entrance 35 • addresses handicap accessibility and appropriate restrooms 36 • addresses flooding, moisture, and mold issues 37 • provides for repairs to existing infrastructure 38 • Glenwood Elementary's continuance after 10 years is uncertain 39 40 PreK Center/ Phoenix Academy/ Lincoln Center 41 • provides a comprehensive facility to support early childhood education 42 o improved access to educational resources 43 o improved services for students 44 o disadvantaged student supports 45 • returns existing space back to elementary schools and allows for phasing of other 46 projects 47 • provides the greatest increase in capacity 48 o 189 Elementary School seats 49 o 100 High School seats 6 1 • provides Phoenix Academy High students with appropriate and supportive facilities, 2 including a biomedical lab 3 • provides desperately needed additional space for students with mental health needs and 4 for students who need a smaller educational environment 5 • provides a community meeting space and a Black/education history museum 6 • provides renovations and NC to the existing gymnasium 7 • addresses moisture and mold concerns 8 • addresses handicap accessibility issues 9 • frees up future capital funding to address other school capital needs 10 • provides appropriately-sized administrative space on the second floor, reducing total 11 expenditures to a small fraction of the total anticipated CHCCS bond funding allocation 12 13 Next Phase Projects 14 Phase II, to begin in 3-4 years: Improvements at Ephesus, Estes Hills and Seawell 15 Elementary Schools and Phillips Middle School. These improvements provide the second most 16 positive impact to capacity. These improvements will hopefully be funded by long range funds 17 Orange County has planned for the district's new schools. 18 Phase III, to begin in 4-7 years: Improvements at Carrboro and Frank Porter Graham 19 Elementary Schools and at Culbreth Middle School. These projects are currently unfunded. It is 20 hoped that future-funding sources will be identified to complete all the projects. 21 22 James Barrett thanked the Board for its willingness to discuss these topics. He 23 expressed his excitement for both the Chapel Hill High School (CHHS) and the Lincoln Center 24 (LC) projects. 25 James Barrett said Tom Forcella had talked with alumni from Lincoln High and the 26 opportunity to bring education back to this area provides great excitement to the alumni 27 community. 28 Todd LoFrese said it is important to remember that CHCCS has been operating at 29 capacity for the last two decades. He said SAPFO projections show a current lull, and thus this 30 is an opportunity to address the older schools and capacity issues. He said the proposed plan 31 would create the capacity of one whole elementary school and 200 high school seats by 32 renovating current buildings. 33 Todd LoFrese said Chapel Hill High is in need of major renovations. 34 Todd LoFrese said a packet was provided to the Board ahead of time with CHCCS 35 projects and priorities included. He said CHCCS also provided written responses to Board 36 questions which are at their places. 37 Commissioner Burroughs asked if there are reasons for renovating CHHS, as opposed 38 to building a new school. 39 Todd Lofrese said the cost is one issue, and the other is where would students go 40 during renovations. 41 Todd LoFrese said there are no additional school sites large enough for a high school. 42 He said CHHS has 1,500 students, and to phase these students in would be a challenge. 43 Todd LoFrese said the academic wing is the focus, as it is deemed beyond renovation 44 and must be a re-build. He said the gym was renovated a few years ago, so it and the 45 auditorium are salvageable to bring up to Orange County standards. 46 Commissioner Burroughs repeated her question and clarified that the largest portion of 47 CHHS will be built new, while the other sections are renovated. 48 Todd LoFrese said it is $50-70 per square foot to renovate versus $200 per square foot 49 for a new facility. He said a new high school would be too expensive, and if an entirely new 50 facility were built at CHHS, there would be no funds to do the projects at the other schools. 7 1 Commissioner Burroughs asked if Todd LoFrese would speak about the mobile units, 2 the costs to maintain them, and some of the challenges these units present. 3 Todd LoFrese said each mobile unit is a separate facility, with its own utilities and 4 HVAC, which are inefficient and require maintenance. He said it costs $6,000 to replace a 5 mobile unit HVAC, which is fiscally irresponsible. He said CHCCS does not want to use CIP 6 funds on renovating the mobiles. 7 Commissioner Rich said the school construction standards were approved in 2007, and 8 asked if these standards need to be updated. 9 Todd LoFrese said down the road these standards should probably be reviewed, and he 10 said that both the construction standards and Department of Public Instruction (DPI) regulations 11 are in line with what CHCCS is proposing. 12 Commissioner Rich said technology is ever changing and asked if this should be 13 acknowledged somehow in the standards. 14 Commissioner Rich asked if Todd LoFrese could clarify what some of the $6-9 million of 15 improvements will include. 16 Todd Lofrese said HVAC replacement, locker renovations, flooring, new technology and 17 seating in the auditorium, wall and window seals, and infrastructure upgrades. 18 Commissioner Rich asked if safety issues are being addressed. 19 Todd LoFrese said the older schools have lots of doors. He said at Chapel Hill High 20 School some buildings will be connected with secure vestibules. He said there are a lot of 21 conflicts with pedestrian, kiss and go, and bus lanes, all of which create safety and traffic 22 hazards. He said these need to be made into appropriate types of entrances and exits. 23 Todd LoFrese said there would be a similar approach with other older schools: 24 expanding capacity and creating secure vestibules. 25 Commissioner Rich referred to Glenwood Elementary, noting it may disappear in the 26 near future. She said there is $940,000 assigned to this school, and she asked if the life span 27 of the school could be identified. 28 Todd LoFrese said this renovation project is already underway through fund balance 29 dollars. He said the goals of this project are to create a secure a main entrance, address 30 issues of ADA compliance, and to extend the life of this building as long as possible by 31 addressing mechanical systems. He said the hope is to extend the life of the building for at 32 least 10-15 years. He said the majority of this work will be done this summer. 33 Commissioner Pelissier said all of the older schools will not be able to be addressed in 34 Phase 1. She asked if there are any other funds outside of the CIP and the bond to address 35 these many needs, especially mold. 36 Tom Forcella said by putting bond funds into CHHS, the CIP dollars typically funded to 37 CHHS will become available for other projects. 38 Todd LoFrese said CHCCS highlighted some projects in their current CIP that, if CHHS 39 and the Lincoln Center projects moved forward, could be funded. He said this would be about 40 $3.5 million over five years. 41 Commissioner Jacobs referred to page 15 of construction standards, where it addresses 42 school site acreage. He said the document does not reflect current standards, as the acreage 43 requirements were not followed when building Northside Elementary School. He said the 44 standards should be re-visited, if millions are going to be invested in renovations. 45 James Barrett agreed that the acreage standards could be reviewed, especially for 46 CHCCS. 47 Todd LoFrese said all of the older schools become denser when more students are 48 added to an existing site. 8 1 Commissioner Jacobs said now is the time to look at sites for future use. He suggested 2 the idea that larger school properties, such as Carrboro Elementary, may be able to 3 accommodate another facility. 4 Bonnie Hammersley said there is a Superintendents/Manager meeting coming up, 5 where these standards and ideas could be discussed and recommendations brought back to 6 the Board. 7 James Barrett said Todd LoFrese presented to the Chapel Hill Town Council last night, 8 and there were questions about student capacity. He said capacity consistently reaching 110% 9 indicates that the CHCCS is accepting of mobile units. He said those standards could have 10 been made at a time when there was no funding for new schools. He said revisiting the 11 standards is a worthwhile endeavor. 12 Chair McKee said he does not like mobile units, but removing them means more new 13 schools must be built. He said this whole discussion brings back the question of available 14 resources versus necessary needs. 15 Commissioner Dorosin said the percentages over 100 are designed to allow time to 16 accommodate the growth as it happens. He said all of this feeds into the question of whether 17 or not bigger schools are needed. He said Chapel Hill has more schools for 12,000 students 18 than a lot of other places. 19 Commissioner Price said in considering mobile units, it is important to think about safety 20 and security standards as a priority. She said the children must come first. 21 Tom Forcella referred to CHHS and said the discussion is centering on how to make 22 best use of space, especially in a collaborative way by using one space for multiple purposes. 23 James Barrett said secure vestibules are not inexpensive. 24 Commissioner Jacobs said as far as SAPFO goes, it is a far more conservative 25 standard than the alternative, and it was a compromise. He said building cannot continue on 26 the current tax base. He said the Board of County Commissioners (BOCC) tries to be sensitive 27 to the schools' needs, but has to balance schools with other County needs. He said when 28 considering school size and standards, one must consider how much is reasonable. 29 Commissioner Jacobs asked if mobile units are as unsafe and insecure as classrooms 30 with doors with outside access. 31 Todd LoFrese said yes. He said all doors have locks, which should remain locked 32 during school hours; however, every door is another opportunity for access. 33 Commissioner Jacobs said he wished the schools would talk about safety first, and that 34 is what has bothered him about the CHCCS proposal. He said the primary motivation should 35 be safety for the children, and he does not hear that in the proposal, since mobile units are in 36 Phase 2. 37 James Barrett said no safety measures are 100%, and the worst incident in the CHCCS 38 occurred at East Chapel Hill High. He added that solving the issues at Estes Hills Elementary 39 School is no guarantee, and as there is no guarantee of safety, perhaps that is why the issue is 40 not at the forefront of the proposal. 41 Todd LoFrese said safety goes beyond these issues being discussed. He reviewed 42 several other safety issues identified by the facilities study that were addressed immediately 43 upon discovery. 44 Todd LoFrese said the situations with mold and water are significant and an on-going 45 issue. He said CHCCS would absolutely like all children out of mobile units and in buildings, 46 but there is a balance between safety and not causing hysteria in the community. 47 Commissioner Burroughs said the CHHS and LC projects both offer improved safety, 48 and this element of the plans should be highlighted. She said the bond committee can talk 49 about this going forward. 9 1 Commissioner Pelissier said the Lincoln Center will include some community space and 2 asked if this will be the case in the CHHS project as well. She said having multifunctioning 3 spaces can allow for greater stretch of the tax payer dollars. 4 Commissioner Pelissier asked if features, such as geothermal heating, would be 5 considered with the rebuilding at CHHS. 6 Todd LoFrese said the district has a high performing building policy that is followed, 7 within a particular budget. 8 Todd LoFrese said in regards to community spaces, the BOE has a community use 9 policy and a rental fee to offset costs. 10 Commissioner Pelissier said she got the impression that the community does not often 11 use the schools. 12 Todd LoFrese said to the contrary, and that some spaces are used on a consistent 13 basis. 14 Commissioner Pelissier requested more information be sent to the Board regarding 15 these matters. 16 James Barrett said the Lincoln Center needs a good size meeting room to 17 accommodate public overflow. He said the proposed museum allows for history to look down 18 on the BOE, as it meets and conducts business. 19 Commissioner Dorosin asked if there are fees for outside usage and if it is a source of 20 revenue. 21 Todd LoFrese said yes, and the rates differ for types of usage, as well as non-profit 22 versus for profits usage. He said it is a break-even operation and the fees collected go directly 23 back into school maintenance. 24 Commissioner Dorosin asked if the mobile units have bathrooms, and if it has been 25 determined what CHCCS will do with the 32 mobile units being discarded. 26 Todd LoFrese said that is open for discussion and exploration. 27 Commissioner Dorosin said perhaps the mobile units with bathrooms could be 28 converted into some type of affordable housing. 29 Commissioner Jacobs said he and Todd LoFrese had a conversation years ago 30 regarding the preservation of the Lincoln Center for historical reasons, and he gave the BOE 31 credit for recognizing the importance of this. 32 Commissioner Rich referred to the pre-K students, asking of the 200 to 250 pre-K 33 students, how many does the County fund and how many are state funded. 34 Todd LoFrese said exceptional students (EC) must be provided for. 35 Commissioner Rich asked if most of the students fall under the EC designation. 36 Todd LoFrese said no. He said there are EC pre—K classes, which are smaller in head 37 count, perhaps 4-7 students. He said there are also Head Start and NC pre-K students which 38 comprise the majority of the students. He said there are also tuition-paying students. 39 Commissioner Rich asked if there is a waiting list. 40 Tom Forcella said the District is required to offer services for EC students, but there 41 may be a waiting list for the tuition-paying students. 42 Todd LoFrese said he thought there were students that would attend if there were open 43 Head Start slots or available NC pre-k funds. He said EC students are paid for by State and 44 local funds. 45 Commissioner Dorosin asked if the pre-K project at the Lincoln Center proceeds, will 46 there be no more pre-K students at other elementary schools. 47 Todd LoFrese said 20 classrooms are being designated to keep a pre-K at Frank Porter 48 Graham Elementary School, since it is a dual language program, and perhaps at Carrboro 49 Elementary for the same reason. 10 1 Commissioner Jacobs said he asked Margaret Samuels to attend the meeting since she 2 had worked in pre-K for years. 3 Commissioner Jacobs said he read through all the materials and the rationale for 4 changing the pre-K model. He asked if it is known which portion of the program would be 5 funded locally. He remembered the conversation from years ago making the case that it is 6 easier to transfer a pre-K student into an existing elementary school. He asked if the proposed 7 LC project is better for the teaching staff or for the students. 8 Margaret Samuels said pre-K is funded in many different ways. She said CHCCS runs 9 the Head Start grant locally, but OCS runs its program slightly differently. She said as far what 10 provides a good pre-k experience for a child is a consistent, licensed and trained teacher first 11 and foremost. She said it would be optimal if there were enough money to put every child in a 12 pre-K class at their assigned neighborhood school, but this is currently happening with less than 13 50% of the pre-K students. 14 Margaret Samuels said the opportunities that the consolidation offers is that there would 15 be health services at the Lincoln Center, ratio of teacher to children, programmatic benefits, 16 and the most important piece is the availability for all of the pre-K teachers to collaborate, meet, 17 train together, etc. at one site. She said this project is the best compromise at this time. 18 Chair McKee referred to the next phase projects and said there is an expectation of 19 future bonds. He read a portion of the abstract pertaining to Orange County's funds planned 20 for future new schools. He asked if there could be clarification regarding this. 21 Todd LoFrese said Phase 1 projects are bond projects. He said CHCCS has requested 22 that for Phase 2 projects, the District be given access to what was in the CIP last year. He said 23 the 10-year CIP included funding for elementary school number 12 and a high school addition 24 at Carrboro High School. He said if these funds could be accessed to complete Phase 2 25 projects, then a new elementary school and a high school addition will not be necessary for 26 quite some time. He said Phase 1 projects will significantly address capacity issues as well. 27 Chair McKee asked if SAPFO numbers push out those two projects past the 10-year 28 mark, what justification would there be to release those funds in year two or three. 29 James Barrett said these funds were never intended for years two or three. 30 Chair McKee said if these projects are to be completed over 10 years, then funds would 31 need to be released in the third year. 32 Todd LoFrese said a small amount of Phase 2 projects begin in FY 2018-19, but the 33 majority of these projects are in FY 2020-21. 34 James Barrett said it is harder for act any sooner, because once the pre-K students are 35 co-located at the LC, there needs to be some flexibility at the schools in order to move students 36 around during construction. 37 Todd LoFrese said every year that passes gets the District a year closer to when a new 38 school may be needed. He said there is a lull right now, and great strides can be made. 39 Chair McKee said he is trying to understand the mechanics of these projects. He said 40 there will be 189 additional seats provided by the LC project, and asked if that will not satisfy 41 the capacity issues that Phase 2 seeks to address. 42 Todd LoFrese said it delays the capacity need but not the condition of the schools. 43 James Barrett said it is a buffer to complete the construction. 44 Chair McKee referred to Phase 3, and asked if there could be clarification regarding the 45 statement "future funding resources will be identified" in the abstract. 46 Todd LoFrese said the CHCCS tried to align the Phase 2 projects with the funding that 47 was planned for last year in the 10-year CIP. He said it is unknown where Phase 3 funds would 48 come from. 49 James Barrett said if the funds allotted to the CIP can be repurposed for Phase 2 50 projects, a great deal of progress can be made to make CHCCS safer and stronger. 11 1 Chair McKee said he does not understand the mechanics of the Lincoln Center project. 2 He is very supportive of pre-K education, and if the consolidation of the program is best, he 3 supports that as well. He said he is unclear how the InterFaith Council (IFC) and Piedmont 4 Health Services play into the project. He can see the benefit to having health services on the 5 campus, but he has heard parental concerns about increasing the access to the school. 6 Todd LoFrese said Lincoln Center is comprised of three main components of the 7 District: consolidated pre-school; Phoenix Academy High School with a larger building to 8 include the mental health component; and administrative offices on the second floor. He said 9 the gym will be preserved. He said earlier this year, an inquiry was received from the IFC and 10 Piedmont Health regarding co-location of services at these facilities. He said there is not 11 enough room on the campus to build another building, thus IFC likely will not fit at the LC. He 12 said discussions are still taking place with Piedmont Health, with the possibility of extending a 13 portion of the Phoenix High School building to house medical and dental services. He said if 14 this were to occur, Piedmont Services would provide the funding in exchange for a 30-year use. 15 Todd LoFrese said this co-location idea is still being considered from an educational 16 viewpoint. He said the co-located services could provide access to early education and health 17 care, both of which are extremely important for child development. He said high school 18 students at Phoenix, and across the District, could benefit from hands on experience and 19 learning in various aspects of the medical field, when considering career choices. 20 Chair McKee said a concern he has with the Lincoln Center project is whether this 21 expenditure of$22 million should come before other issues with safety and security have been 22 addressed. He said he knows that the needs outpace the resources, but of all the projects 23 identified, the Lincoln Center gave him the most reason for pause. 24 James Barrett said completing the Lincoln Center first allows for a full transition plan for 25 the other schools over the next 10 years, as it will allow for flex space to move students around 26 during construction. 27 Commissioner Jacobs thanked Chair McKee for raising this issue. He said this is the 28 first time the Board is hearing details of the Lincoln Center project. 29 Tom Forcella said this project has been presented twice before. 30 Commissioner Jacobs said this is the first time that the Board of County Commissioners 31 has heard about the entire Lincoln Center project, which has been helpful. 32 Commissioner Jacobs asked if Piedmont will be able to provide nursing care, or would 33 the County still have to provide nursing services. 34 Todd LoFrese said that could be a possibility to discuss going forward. 35 Commissioner Dorosin thanked the two school districts for the conversation, and asked 36 both districts to adopt resolutions to repeal HB2. He said school districts are adversely affected 37 in unique ways and have a unique legal standing in the matter. 38 James Barrett said the CHCCS BOE passed a resolution last week, and has learned 39 from their lawyers that policies do not need to be changed. He said gender-neutral bathrooms 40 are being implemented in all middle and high schools. 41 Todd LoFrese provided the following information: 42 In advance of tonight's work session, the CHCCS district received questions from County 43 Commissioners related to the bond priorities. A brief response follows each question along with 44 two supporting documents. 45 46 1. What were the square foot costs for Carrboro High, the total cost, and some coefficient for 47 inflation in construction costs since the building was completed? 48 49 • Carrboro High was bid in 2005, pre-recession. 50 • It cost $190 per square foot for a total cost of $36 million. 12 1 • It was initially constructed without an auditorium/arts wing (added in 2011 @ $4 million) 2 and without a concession/bathroom building (added in 2012 at $900K) 3 4 Calculating construction cost inflation is difficult due to the recession and since 11 years 5 have passed since the bid opening. We have included a more recent cost analysis based on 6 DPI reports of new school project costs. Please find it attached. 7 8 2. For CHCCS, how many mobile classrooms will be retired by executing each project, and 9 what percentage of the total mobile classrooms does that represent? 10 11 • The need for 24 mobile classrooms will be eliminated with our Phase 1 projects. 3 mobiles 12 are at Lincoln Center, 14 mobiles are at Chapel Hill High School, and 7 mobiles are 13 occupied by pre-K students at other schools across the district. Phase 2 projects would 14 eliminate the need for an additional 8 mobile classrooms. A total of 32 mobiles would be 15 eliminated through all 10 projects, of which 24 (or 75% of the total eliminated) would 16 occur in Phase 1. 17 • Furthermore, 12-14 additional classroom spaces would be vacated across all elementary 18 schools by the pre-K consolidation, assisting with Phase 2 swing space needs. 19 20 3. Do the existing school construction standards add significant costs to typical school 21 construction? If so, how much? 22 23 • We do not feel the school construction standards significantly increase the cost of typical 24 school construction. Local approval/permitting and significant regional demand (Wake 25 $800 million bond, recently passed state bond, recently passed Town of Chapel Hill 26 Bond) are much bigger factors. 27 28 4. Can we get a breakdown of costs for the Chapel Hill High project? What is the cost of 29 deconstructing building A and rebuilding it vs. the amount of money going to upgrading the 30 rest of the buildings? 31 32 • We have broken down the details for our initial estimate for Chapel Hill High School. 33 Please find it attached. 34 35 5. What components are included in the overall project costs? Can those be itemized to isolate 36 construction from architectural fees, equipment, etc. for each of the major projects? 37 • Yes, see the Chapel Hill High School estimate sheet for an example. 38 39 6. In the 20th Annual School Construction Report 40 http://www.haddonfield.k12.ni.us/Attachments/AnnualSchoolConstructionReport2015.pdf and 41 Schooldesigns.com web site, Stuart Cramer High School in Gaston County was completed in 42 2013 at a cost of roughly 39 million. This facility is larger than the requested renovation size of 43 Chapel Hill High and accommodates 300 fewer students. Is the difference construction costs 44 vs. the overall cost of the project, or are there other important differences to explain the large 45 difference in costs? If a new school costs less, why not build a new school? 46 • The project in Gaston County was bid in 2011. We do not feel that cost is an accurate 47 representation of the current local market and a new Chapel Hill High School would cost 48 significantly more than $52 million. In addition it would be extremely difficult to build 49 given our limited remaining school sites (none of which are appropriate for a HS) and 13 1 that 1500+ students currently attend CHHS. Phasing would be very difficult and 2 expensive. 3 4 7. How firm are the costs for Chapel Hill High? Could the district representatives please 5 describe the process, where we are now and what are the next steps? 6 • The costs are not firm at this time as we have not yet begun design. The design process 7 will commence later this spring. At the different phases of architectural design (concept 8 plan, schematic design, and construction documents) professional cost estimates will be 9 obtained to ensure the project is within our budget estimate. 10 11 8. What is the County's role in funding pre-K?Are pre-K students counted in the ADM?Are 12 counties in the state legally obligated to provide facilities for pre-K or is this a policy choice that 13 varies by district? 14 • Orange County is not required to fund pre-K. 15 • Pre-K students are not included in our ADM numbers, however their presence in our 16 schools utilized capacity. 17 • Counties in NC are not required or obligated to provide PK facilities 18 • The district must provide pre-K for exceptional children students. Also consider that if we 19 didn't provide appropriate space for pre-K most of our students receiving Head Start 20 assistance or NC pre-K would not be served. 21 22 A motion was made by Commissioner Burroughs, seconded by Commissioner Rich to 23 adjourn the meeting at 9:25 p.m. 24 25 26 Donna Baker, Clerk to the Board 27 28 29 Earl McKee, Chair 30 31 32 1 1 Attachment 2 2 3 DRAFT BOARD OF COMMISSIONERS 4 REGULAR MEETING 5 April 19, 2016 6 7:00 p.m. 7 8 9 The Orange County Board of Commissioners met for a regular meeting on Tuesday, April 19, 10 2016 at 7:00 p.m. at the Southern Human Services Center, in Chapel Hill, N.C. 11 12 COUNTY COMMISSIONERS PRESENT: Chair McKee and Commissioners Mia Burroughs, 13 Mark Dorosin, Barry Jacobs, Bernadette Pelissier, Renee Price and Penny Rich 14 COUNTY COMMISSIONERS ABSENT: 15 COUNTY ATTORNEYS PRESENT: John Roberts 16 COUNTY STAFF PRESENT: County Manager Bonnie Hammersley, Deputy Manager Travis 17 Myren and Clerk to the Board Donna Baker (All other staff members will be identified 18 appropriately below) 19 20 Chair McKee called the meeting to order at 7:04 p.m. 21 22 1. Additions or Changes to the Agenda 23 24 -- Green sheet - proposed resolution from Commissioner Rich 25 -- Pink sheet - suggested revision by Commissioner Jacobs to Item 4-b- Resolution Regarding 26 House Bill 2 27 -- Yellow - addendum for Item 4-c: National Small Business Week Proclamation 28 -- Yellow sheet - replacement abstract for Item 5a- Public Hearing on General Obligation Bond 29 Orders and Other Appropriate Action (previously mailed to the BOCC) 30 -- White sheet - additional options for Item 6-e: BOCC Rules of Procedure Revision 31 -- White sheet - hand out from public comments for items not on the printed agenda 32 33 Chair McKee said Commissioner Burroughs will be a little late. 34 35 PUBLIC CHARGE 36 37 Chair McKee dispensed with the reading of the public charge. 38 39 2. Public Comments 40 41 a. Matters not on the Printed Agenda 42 Bill Crowther said he went to the County Inspections Department, where he paid $660 43 for a building permit to build a footbridge over the Eno River. He asked if he could be refunded 44 this money in order to use it for signage and gravel, as this trail is part of the Mountains to Sea 45 Trail alignment, and will be for the public to use. 46 Andrew Dykers said he is an attorney and a musician living in Carrboro, and he is here 47 this evening to propose an Orange County Voter Education Initiative. He previously provided a 48 handout to the Board of County Commissioners (BOCC). He said the goal of this initiative is to 49 make it easier for Orange County residents to be more informed about elections. He reviewed 50 his handout, particularly noting the following needs: a memorable URL, promotional signage, 1 2 1 links to each candidate, on line discussion site for candidates to debate/discuss their concerns 2 and solutions, and user friendliness. 3 Commissioner Price asked if he is proposing a site that is separate from the County site 4 or amendments to the County's website. 5 Andrew Dykers said a particular URL just for elections. 6 7 b. Matters on the Printed Agenda 8 (These matters will be considered when the Board addresses that item on the agenda 9 below.) 10 11 3. Announcements and Petitions by Board Members 12 Commissioner Rich petitioned the Board, referring to the green hand out, which is a 13 resolution to increase per pupil funding, and to fully fund public schools in North Carolina. She 14 said she would like this to be on the May 5th agenda for Board consideration. 15 Commissioner Burroughs arrived at 7:13 p.m. 16 Commissioner Rich requested information to change the County ordinance, and 17 petitioned for staff to come to the Board with an amendment to allow food trucks. 18 Commissioner Burroughs had no petitions. 19 Commissioner Jacobs said he would like an update on the Eubanks Road Solid Waste 20 Convenience Center (SWCC) expansion. He said he would also like to speak about properties 21 like the Greene Tract, due a couple of incidents that have occurred there recently. He said the 22 County's policy of not allowing public use of public lands is very troubling, and he would like to 23 have a discussion about this in the near future. 24 Chair McKee asked the Manager to bring back the update about the SWCC. 25 Commissioner Dorosin petitioned the Board to look at voting methods in Orange 26 County, both at-large and districts. He said this system is not as democratic as it should be, 27 and to re-visit the option of letting the district elections be district elections from the primary all 28 the way through to the general election. 29 Chair McKee seconded this petition. 30 Commissioner Dorosin said he asked for information about the economic impacts of 31 House Bill 2 (HB2) on Orange County, and received some information from Steve Brantley, 32 Director of Economic Development, and Laurie Paolicelli, Director of Community Relations. He 33 said there should be a public announcement about this information. 34 Bonnie Hammersley said all of this information will be compiled in one document and 35 share with the public and the Board. 36 Commissioner Price referred to single stream versus co-mingling recycling, and asked if 37 there is an update about this and its effectiveness. 38 Chair McKee referred this petition to the Manager. 39 Commissioner Pelissier asked if, when the General Assembly (GA) is in session, there 40 could be a link to the GA and the North Carolina Association of County Commissioners 41 (NCACC) on the County website. 42 Bonnie Hammersley said staff will do this. 43 Chair McKee said he heartedly endorses Commissioner Dorosin's petition regarding 44 voting methods. 45 46 4. Proclamations/ Resolutions/ Special Presentations 47 48 a. Resolution Honoring Norman Francis Gustaveson 2 3 1 The Board will consider approving a resolution honoring and recognizing Norman 2 Francis Gustaveson for his devotion and service to the people of Orange County, and authorize 3 the Chair to sign the resolution. 4 Commissioner Jacobs said former Commissioner Gustaveson's wife Nancy, son Eric, 5 and granddaughter Anna, with husband Daniel, are in attendance this evening. 6 Commissioner Jacobs said three former Commissioners are also present: Former 7 Commissioners Insko, Crowther and Willhoit. 8 Commissioner Jacobs read the resolution: 9 10 ORANGE COUNTY BOARD OF COMMISSIONERS 11 12 RESOLUTION HONORING 13 NORMAN FRANCIS GUSTAVESON 14 15 WHEREAS, the residents of Orange County elected Norman Francis Gustaveson to the Board 16 of County Commissioners in 1974 and re-elected him in 1978; and 17 18 WHEREAS, Mr. Gustaveson continually demonstrated himself to be a dedicated and effective 19 public servant, and a man of empathy and insight, who gained the respect of all who knew him 20 in both the public and private sectors; and 21 22 WHEREAS, during his tenure as an Orange County Commissioner, Norman Gustaveson 23 shared his talent for leadership and public service through his work on numerous committees, 24 boards, and task forces focusing on social justice, land conservation, the environment, and 25 energy conservation; and 26 27 WHEREAS, Mr. Gustaveson played a key role as a member of the "Shaping Orange County's 28 Future" task force; and 29 30 WHEREAS, he was a willing volunteer on County committees subsequent to his terms in 31 elected office, notably the Innovation and Efficiency Committee; and 32 33 WHEREAS, he was a lifelong scholar and social advocate leaving significant contributions 34 across the University of North Carolina campus; and 35 36 WHEREAS, he was a charter member of the Triangle Land Conservancy Board and was also 37 an Emeritus member of the Eno River Association; 38 39 NOW THEREFORE, BE IT RESOLVED that the Orange County Board of Commissioners, on 40 behalf of County officials and employees and the residents of Orange County, honors Norman 41 Francis Gustaveson and expresses deep appreciation, gratitude and respect for his service to 42 the County over the course of his life. 43 44 This the 19th day of April 2016. 45 46 A motion was made by Commissioner Price, seconded by Commissioner Rich for the 47 Board to approve, and authorize the Chair to sign, the attached resolution honoring Norman 48 Francis Gustaveson and recognizing his service to the people of Orange County. 49 50 VOTE: UNANIMOUS 3 4 1 2 b. Resolution Regarding House Bill 2 3 The Board considered approving a resolution regarding House Bill 2, and authorizing the 4 Chair to sign the resolution. 5 Chair McKee said there is an amended resolution at the Commissioners' places. He 6 said Commissioner Price petitioned, and he seconded, a resolution requesting that HB2 be 7 repealed. He said the BOCC had already issued a resolution supporting the Charlotte 8 ordinance, and affirmed its commitment to all residents receiving fair, just, and equal treatment. 9 He referred to the last further resolved, and said that John Roberts suggests removing this 10 section, and discussing it in a closed session. 11 John Roberts said one reason he suggested the closed session is because there is a 12 local bill that is needed. He said he heard from Senator Foushee today, and that this local bill 13 will be more likely to pass with the support of a particular committee chair. He said this 14 committee chair supports HB2, and should Orange County speak out again HB2, this 15 committee chair may possibly withdraw his support from the needed local bill. He said the 16 Senator and the Committee Chair are working together to get this local bill passed. He said this 17 is the non-closed session reason, and he can elaborate further during the closed session. 18 Commissioner Dorosin asked if the BOCC follows the County Attorney's suggestion to 19 wait until after closed session to include this portion of the resolution, should the entire 20 resolution wait until after the closed session, or could the Board just have another vote on this 21 portion of the resolution. 22 John Roberts said this section can be voted on separately. He said there is not a rush 23 on this section, and the Board can delay the closed session until next week, or the BOCC can 24 direct him for litigation. 25 Commissioner Dorosin said he would be in favor of adopting this tonight. 26 Chair McKee asked if a closed session could be called for this evening. 27 John Roberts said yes, and it would be brief. 28 Commissioner Jacobs said he wrote additional wording, that he meant to add earlier but 29 forgot. He said the additional wording reflects the Board's previous resolution, and he read the 30 additional language he was suggesting. 31 Commissioner Price said she is fine with additional language. She referred to the point 32 of litigation, and said she would prefer not to include it at this time. She said her main concern 33 is that the support for repealing the bill moves forward. 34 Chair McKee suggested to motion for the substitute resolution on the pink sheet, and 35 delete the last clause. 36 Commissioner Dorosin highlighted the issue John Roberts' raised, saying the Board 37 finds itself at the mercy of a right wing legislation that may potentially hold up unrelated local 38 legislation, because this Board is trying to protect its residents. He said he will support the 39 resolution without the language, but will immediately make another motion to go to litigation. 40 He said he agrees that the demand for repeal is important, but feels the demands ring hollow 41 without expressing the willingness to fight the bill in every way. 42 Commissioner Price said she is willing to support both motions. 43 Chair McKee read the revised resolution: 44 45 REVISED 46 47 Chair McKee read the revised resolution: 48 ORANGE COUNTY BOARD OF COUNTY COMMISSIONERS 49 RESOLUTION CALLING FOR THE REPEAL OF 50 SESSION LAW 2016-3/HOUSE BILL 2 4 5 1 2 WHEREAS, on February 22, 2016, the Charlotte City Council approved a local ordinance that 3 adds marital status, familial status, sexual orientation, gender identity, and gender expression to 4 its list of categories protected from discrimination in city contracting and public 5 accommodations; and 6 7 WHEREAS, on March 22, 2016, the Orange County Board of Commissioners adopted a 8 resolution supporting Charlotte's nondiscrimination policy; and 9 10 WHEREAS, on March 23, 2016, the North Carolina General Assembly in special session 11 ratified and Governor Pat McCrory signed House Bill 2 (Session Law 2016-3), the Public 12 Facilities Privacy & Security Act which further limits the ability of local governments to address 13 issues on a local basis; and 14 15 WHEREAS, House Bill 2 [HB2] appears to repeal the Charlotte ordinance by establishing new 16 statewide standards for what constitutes discriminatory practice in employment and public 17 accommodations; and 18 19 WHEREAS, the omission of sexual orientation, gender identity, gender expression, and other 20 categories from the statewide list of categories protected from discrimination means that 21 protections on these bases appear to be unavailable through state law, and that local 22 governments appear to be preempted from offering these protections to their residents; and 23 24 WHEREAS, HB2 appears to eliminate the right of any person to bring a civil action in a North 25 Carolina court for a claim of discrimination in employment or public accommodations on 26 account of race, religion, color, national origin, age and biological sex, as well as handicap for 27 employment only; and 28 29 WHEREAS, HB2 is inconsistent with the Equal Protection Clause of the United States 30 Constitution; and 31 32 WHEREAS, Orange County is dedicated to assuring that the principles of equality, 33 nondiscrimination and full inclusion and engagement extend to all residents, and that no 34 persons are denied their civil or human rights; 35 36 NOW, THEREFORE, BE IT RESOLVED, that the Orange County Board of Commissioners 37 urges the North Carolina General Assembly to repeal House Bill 2 [HB2] in its entirety at the 38 earliest opportunity; and 39 40 BE IT FURTHER RESOLVED, that the Orange County Board of Commissioners reaffirms its 41 duty to protect and advance the constitutional rights and equitable treatment of all residents of 42 Orange County as well as its primacy in understanding and best reflecting the values of 43 our constituents; 44 45 BE IT MOREOVER RESOLVED, that the Orange County Board of Commissioners asks the 46 Orange County Clerk to send copies of this resolution to the members of the Orange County 47 delegation of the General Assembly and to the North Carolina Association of County 48 Commissioners. 49 50 This the 19th day of April, 2016. 5 6 1 2 A motion was made by Commissioner Price, seconded by Commissioner Rich for the 3 Board to approve the amended resolution with Commissioner Jacobs' proposed language and 4 to delete the "be it further resolved" section about litigation and authorized the Chair to sign the 5 attached resolution. 6 7 Commissioner Rich said to insert "in its entirety" after the resolution to repeal HB2. 8 Commissioner Price agreed to add this. 9 10 VOTE: UNANIMOUS 11 12 A motion was made by Commissioner Dorosin, seconded by Commissioner Price to 13 authorize the County Attorney to support, join and/or initiate litigation seeking to challenge and 14 overturn all the provisions of HB2. 15 16 Commissioner Pelissier said she will not vote in favor if this motion until the Board meets 17 with its attorney. She said it is hateful that the County is being punished by the State for taking 18 a stance against HB2. She said this is a social justice issue. 19 Commissioner Jacobs said he appreciated Commissioner Pelissier's comments and 20 position, but it is never an easy choice when you are bullied for the wrong reasons. 21 22 VOTE: Ayes, 6; Nays, 1 (Commissioner Pelissier) 23 24 c. National Small Business Week Proclamation 25 The Board considered approving a proclamation, joining with the U.S. Small Business 26 Administration, to designate the week of May 1 through May 7, 2016 as National Small 27 Business Week and honor small businesses for their contributions to the economy of the 28 nation, state and county, and authorizing the Chair to sign the proclamation. 29 Steve Brantley said Business Retention staff member, Yvonne Scarlett, joins him. 30 Yvonne Scarlett recognized some of their Small Business Owners in the audience. 31 Steve Brantley showed a 4-minute video, which highlighted small businesses in Orange 32 County. 33 Chair McKee read the proclamation: 34 35 ORANGE COUNTY BOARD OF COMMISSIONERS 36 NATIONAL SMALL BUSINESS WEEK PROCLAMATION 37 38 WHEREAS, America's progress has been driven by pioneers who think big, take risks and work 39 hard; and 40 41 WHEREAS, from the storefront shops that anchor Main Street to the high-tech startups that 42 keep America on the cutting edge, small businesses are the backbone of our economy and the 43 cornerstones of our nation's promise; and 44 45 WHEREAS, small business owners and Main Street businesses have energy and a passion for 46 what they do; and 47 48 WHEREAS, when we support small business, jobs are created and local communities preserve 49 their unique culture; and 50 6 7 1 WHEREAS, because this country's 28 million small businesses create nearly two out of three 2 jobs in our economy, we cannot resolve ourselves to create jobs and spur economic growth in 3 America and Orange County without discussing ways to support our entrepreneurs; and 4 5 WHEREAS, the President of the United States has proclaimed National Small Business Week 6 every year since 1963 to highlight the programs and services available to entrepreneurs 7 through the U.S. Small Business Administration and other government agencies; and 8 9 WHEREAS, Orange County supports and joins in this national effort to help America's and 10 Orange County's small businesses do what they do best— grow their business, create jobs, and 11 ensure that our communities remain as vibrant tomorrow as they are today; 12 13 NOW, THEREFORE, we, the Orange County Board of Commissioners, do hereby proclaim 14 May 1 through May 7, 2016 as "NATIONAL SMALL BUSINESS WEEK" in Orange County in 15 celebration of the many Orange County small businesses. 16 17 THIS THE 19th DAY OF APRIL, 2016. 18 19 A motion was made by Commissioner Dorosin, seconded by Commissioner Jacobs for 20 the Board to approve and authorized the Chair to sign the proclamation on behalf of the Board. 21 22 VOTE: UNANIMOUS 23 24 5. Public Hearings 25 26 a. Public Hearing on General Obligation Bond Orders and Other Appropriate Action 27 Bob Jessup, Bond Counsel, reviewed the following information for the Board's 28 consideration: 29 30 1) Conducting a first scheduled public hearing to receive public comment on the questions 31 of the validity of the bond orders and the advisability of issuing the bonds; 32 33 2) Close the public hearing. The Board can then either proceed to step (3) without 34 changes to the Bond Orders as previously introduce, or in the alternative the Board may 35 decide either (a) not to put forward either or both of the proposed orders, or (b) to lower 36 the amount of either or both orders (The Board cannot, however, add a purpose for the 37 proposed bonds or increase either amount of bonds without restarting the bond 38 authorization process.); 39 40 3) In preparation for the second public hearing on May 5, 2016, introduce again (per Bond 41 Counsel) the two bond orders which state the Board of County Commissioners' proposal to 42 issue General Obligation Bonds to pay capital costs for providing school facilities and for 43 housing for persons with low and moderate income: The first bond order introduction 44 authorizes the issuance of General Obligation, Bonds in an amount not to exceed $120 million 45 to support school facilities; and the second bond order introduction authorizes issuance of 46 General Obligation Bonds in an amount not to exceed $5 million for housing for persons with 47 low and moderate income. 48 49 4) Hold open final action on the Bond Orders until after the May 5 public hearing. 50 7 8 1 BACKGROUND: 2 The Board of County Commissioners adopted a resolution on October 6, 2015 for the County to 3 issue up to $120 million for Schools and up to $5 million for Affordable Housing. The Board 4 made a determination to proceed with a referendum on November 8, 2016, 1 for authorization 5 to issue County General Obligation Bonds in an amount not to exceed $125 million. 6 7 The Board subsequently adopted a resolution at the March 22, 2016 regular meeting to 8 schedule a public hearing on the bond orders at this April 19, 2016 regular meeting. The 9 resolution also included conducting a second public hearing at the Board's May 5, 2016 regular 10 meeting. The bond authorization schedule therefore calls for the first public hearing at tonight's 11 meeting. 12 13 In response to public comment, or otherwise, the Board can decide (a) not to put forward either 14 or both of the proposed Orders, or (b) to lower the amount of either or both orders. The Board 15 cannot, however, add a purpose for proposed bonds or increase either amount of bonds without 16 re-starting the bond authorization process. 17 18 Because of oddities related to the approval process with the Local Government Commission, 19 bond counsel recommends that, after this first public hearing, the Board repeat a previous step 20 of "introducing" the two Bond Orders. That step is included in the Manager's recommendation. 21 The second public hearing is scheduled for May 5, 2016 at the County's Whitted Human 22 Services Center, 300 West Tryon Street, Hillsborough, North Carolina, 27278. After that second 23 public hearing, the Board will be asked to approve the Bond Orders, and then consider a 24 resolution to formally call for the November bond referendum and approving the ballot 25 questions. The referendum is scheduled for the regular election date, November 8. 26 27 PUBLIC COMMENT: 28 29 Allan Rosen said he wanted to thank the Board for the $5 million allocated towards 30 affordable housing in the proposed bond referendum. He said he works at the InterFaith 31 Council (IFC) Center, and this funding would be greatly appreciated and used. He said the 32 affordable housing community wants to educate the public on the upcoming proposed bond 33 referendum. 34 35 Close the public hearing: 36 37 A motion was made by Commissioner Dorosin, seconded by Commissioner Price to 38 close the public hearing. 39 40 VOTE: UNANIMOUS 41 42 A motion was made by Commissioner Dorosin, seconded by Commissioner Rich to: 43 44 • In preparation for the second public hearing on May 5, 2016, introduce again (per Bond 45 Counsel) the two bond orders which state the Board of County Commissioners' proposal 46 to issue General Obligation Bonds to pay capital costs for providing school facilities and 47 for housing for persons with low and moderate income. 48 • The first bond order introduction authorizes the issuance of General Obligation Bonds in 49 an amount not to exceed $120 million to support school facilities. 8 9 1 • The second bond order introduction authorizes issuance of General Obligation Bonds in 2 an amount not to exceed $5 million for housing for persons with low and moderate 3 income; and 4 • Hold open final action on the Bond Orders until after the May 5 public hearing. 5 6 VOTE: UNANIMOUS 7 8 6. Consent Agenda 9 10 • Removal of Any Items from Consent Agenda 11 6-c by Commissioner Jacobs 12 6-e by Commissioner Rich 13 14 • Approval of Remaining Consent Agenda 15 16 A motion was made by Commissioner Dorosin, seconded by Commissioner Price to 17 approve the remaining items on the consent agenda. 18 19 VOTE: UNANIMOUS 20 21 • Discussion and Approval of the Items Removed from the Consent Agenda 22 23 6-c: Renewal of Food and Organic Waste Collection and Composting Contract 24 The Board will consider approving an amendment renewing the contract with Judy D. 25 Brooks Contractor, Inc. that enables the County Solid Waste Management Department to 26 provide collection for separated food waste and other organic materials to commercial and 27 institutional establishments throughout Orange County, and authorize the Manager to sign the 28 Contract Amendment. 29 30 Commissioner Jacobs said he usually removes this item to express hope that the next 31 time it comes up, there will be an internal organic waste recycling program so that out sourcing 32 will no longer be necessary. He said he understands that state law prohibits requiring a living 33 wage, but he recalled the Board directing the Attorney to come back with a policy that could 34 serve as a guiding document to include in the bidding process, expressing the Board's intent. 35 John Roberts said the Manager had informed the Board that this would be addressed 36 during upcoming budget discussions. 37 Bonnie Hammersley said there was a presentation made, and the issue will be 38 addressed in contracts where the County can legally require a living wage, but as this contract 39 is a bidded one, there are limitations on the County's abilities. She said the living wage will be 40 addressed in the 2016-17 budget. 41 Commissioner Jacobs asked if this will be a two prong approach, requiring a living wage 42 when possible, as well as forwarding a document about the County's stance to all who may be 43 bidding on contracts. 44 Bonnie Hammersley said she would get back to the Board on this issue. 45 46 A motion was made by Commissioner Jacobs, seconded by Commissioner Rich to 47 approve an amendment renewing the contract with Judy D. Brooks Contractor, Inc. that enables 48 the County Solid Waste Management Department to provide collection for separated food 49 waste and other organic materials to commercial and institutional establishments throughout 50 Orange County, and authorized the Manager to sign the Contract Amendment. 9 10 1 2 VOTE: UNANIMOUS 3 4 6-e. BOCC Rules of Procedure Revision 5 The Board will consider approving a modification to the Board of County Commissioners 6 (BOCC) Rules of Procedure to move the Consent portion of the agenda to immediately follow 7 Petitions by Board Members. 8 Commissioner Rich pulled this item, and said there was a discussion with Commissioner 9 Burroughs who had proposed it. 10 Commissioner Rich said she did not like the way it was written in the abstract and was 11 provided with alternate options by staff. She said Option A is in the agenda packet, and 12 Options B-D are at the Commissioners' places. 13 Commissioner Rich said she prefers Option D, as it puts items that involve, or honor, 14 residents first. She said she does not support pulling items from the consent agenda, and 15 adding them to the regular agenda. She said she would like to see the consent agenda 16 completed before moving on. 17 Commissioner Burroughs said her intent in moving the consent agenda was to avoid 18 having department directors sitting in the audience for hours, waiting to see if their item is 19 pulled off the consent agenda for further discussion. 20 Commissioner Burroughs said she served on a previous elected board, which always 21 did consent at the beginning of the meeting. She said her proposed process would take a 22 nominal amount of time, and then the meeting can move on to Proclamations, etc. 23 Commissioner Burroughs said it is an easy thing to do for staff, as references to quality 24 life. She said she prefers option B or C. 25 Commissioner Price said the general public would not want to sit through a consent 26 agenda and staff knows that this is part of their job. She said that proclamations, resolutions, 27 etc., should come first. 28 Commissioner Burroughs said the Board would not deliberate on a consent agenda item 29 at the start of the meeting. She said rather items to be pulled, would be pulled, the rest of the 30 agenda voted upon, and the pulled items discussed later at the start of the regular agenda. 31 Commissioner Rich said items are put on the consent agenda because they have been 32 seen before, or require little or no discussion. She said it is the responsibility of the Manager to 33 handle staff issues and needs. She said the responsibility of the Board is to the residents. 34 Commissioner Jacobs said there have been issues in the past about what belongs on 35 the consent agenda and this item does not belong on the consent agenda. He said years ago, 36 public items were moved to the front of the agenda. He said the current agenda structure is the 37 most efficient and effective, and it is up to the Manager whether or not her staff needs to be 38 here. He likes for staff to be here to know what is going on in Orange County government. 39 Commissioner Pelissier said there were recent meetings where a lot of time was spent 40 on public items, but in the end she is comfortable leaving the structure of the agenda as it is 41 since there is a timeframe to resolve any questions/concerns prior to the meeting on consent 42 agenda items. She does not want to elevate the consent agenda to a heightened position. 43 Chair McKee said he sees Option D as a good compromise, if there is a change at all. 44 He said he does not want to split the consent agenda. He said there is always the flexibility to 45 move up an item in a given meeting, for that meeting only. 46 Commissioner Rich said she is not convinced that there should be any change. 47 48 A motion was made by Commissioner Dorosin, seconded by Commissioner Burroughs 49 to adopt Option D (below). 50 10 11 1 VOTE: Ayes, 5; Nays, 2 (Commissioner Jacobs and Commissioner Pelissier) 2 3 OPTION D 4 Regular Meetings. For all regular meetings, items shall be placed on the agenda as listed 5 below: 6 • 1. Additions or Changes to the Agenda 7 • Public Charge 8 • 2. Public Comments (Limited to One Hour) 9 • 3. Announcements and Petitions by Board Members (Three Minute Limit Per 10 Commissioner) 11 • 4. Proclamations/Resolutions/Special Presentations 12 • 5. Consent Agenda 13 • • Removal of Items from Consent Agenda 14 • • Approval of Remaining Consent Agenda 15 • • Discussion and Approval of the Items Removed from the Consent Agenda 16 • 6. Public Hearings 17 • 7. Regular Agenda 18 • 8. Reports 19 • 9. County Manager's Report 20 • 10. County Attorney's Report 21 • 11. Appointments 22 • 12. Board Comments 23 • 13. Information Items 24 • 14. Closed Session 25 • 15. Adjournment 26 27 a. Minutes 28 The Board approved the minutes from the March 22, 2016 BOCC Regular Meeting; and the 29 March 29, 2016 BOCC Work Session, as submitted by the Clerk to the Board. 30 b. Fiscal Year 2015-16 Budqet Amendment#8 31 The Board approved budget and grant project ordinance amendments for fiscal year 2015-16 32 for Department of Environment, Agriculture, Parks and Recreation; Department on Aging; 33 Health Department; and Cooperative Extension. 34 d. Authorization to Declare Solid Waste Manaqement Items Surplus 35 The Board 1) declared various items as surplus, and 2) authorized the AMS director to affect 36 the sale of the items through GovDeals. 37 f. Application for North Carolina Education Lottery Proceeds for Chapel Hill —Carrboro 38 City Schools (CHCCS) and Continqent Approval of Budqet Amendment#8-A Related to 39 CHCCS Capital Project Ordinances 40 The Board approved, and authorized the Chair to sign, the application for North Carolina 41 Education Lottery Proceeds; and approved Budget Amendment#8-A receiving the Lottery 42 Proceeds and the amended CHCCS Capital Project Ordinances, contingent on NCDPI's 43 approval of the application. 44 g. Amendment Outline Forms and Schedules — Hillsborough Area Economic 45 Development District 46 The Board approved process components and schedules for upcoming government-initiated 47 amendments to the Town of Hillsborough/Orange County Central Orange Coordinated Area 48 Land Use Plan, the Orange County Unified Development Ordinance (UDO), and the Orange 49 County Zoning Atlas, and directed staff to proceed accordingly. 11 12 1 2 7. Regular Agenda 3 4 a. Adoption of the FY 2015-16 Final Financing Resolution Authorizing the Issuance 5 of$8,150,000 in Installment Purchase Financing for Various Capital Investment 6 Plan Projects 7 The Board considered approving the final financing resolution authorizing the issuance 8 of approximately $8,150,000 in installment financing to finance capital investment projects and 9 equipment for fiscal year 2015-16, including amounts to pay transaction costs. 10 Gary Donaldson, Orange County Chief Financial Officer, reviewed the following 11 information: 12 13 BACKGROUND: 14 At the March 22, 2016 meeting, the Board of County Commissioners received preliminary 15 information on capital projects and equipment financing for the year. At that meeting, the Board 16 made a preliminary determination to finance costs of these projects and equipment by the use 17 of an installment financing, as authorized under Section 160A-20 of the North Carolina General 18 Statutes. The financing will also include amounts to pay transaction costs. 19 20 The statutes require that the County conduct a public hearing on the proposed financing and 21 refinancing contracts. The Board conducted the public hearing at its March 22, 2016 meeting, 22 and adopted the resolution supporting the application to the Local Government Commission 23 (LGC) for approval of the financing. County staff has been in contact with the LGC staff, and 24 staff expects no issues to receiving LGC approval. 25 26 The four documents that the resolution approves are the following: 27 • The Installment Financing Contract, between the County and First Bank, which provides 28 for the Bank's advance of funds to the County for the County's undertaking of the 29 project, sets out the County's repayment obligation, and sets out the County's other 30 obligations, such as its obligations to care for the collateral. 31 • The Deed of Trust and Security Agreement, which provides for a security interest in the 32 Grady Brown School and its associated real property to secure the County's repayment 33 obligation. This is the document that provides that if the County defaults on its 34 obligations, the Bank can foreclose on the school property. 35 • A Lease between the County and the Orange County Board of Education which 36 provides for the School Board's continued use of the Grady Brown School property 37 during the financing term. 38 • A Project Completion and Agency Agreement between the County and the School 39 Board, which sets out their respective responsibilities for carrying out the acquisition and 40 construction of the planned improvements to Grady Brown School. 41 42 If the Board adopts the final financial resolution authorizing final approval for the financing, staff 43 expects the LGC to approve the financing plan at the May 3, 2016 LGC meeting. Under the 44 current schedule, staff expects to set the final interest rates and other terms of the financing in 45 April 2016, and to close on the financing the week of May 9th. The Board is requested to 46 approve a financing amount not to exceed $8,150,000 and a maximum interest rate of 2.55%. 47 48 FINANCIAL IMPACT: 49 There will be a financial impact in proceeding with the financing. At current rates, preliminary 50 estimates of maximum debt service applicable to the capital investment projects and equipment 12 13 1 financing would require the highest debt service payment of $894,084 in FY 2016-17. The tax 2 rate equivalent for the estimated highest debt service payment is approximately 1/2 cent. A 3 portion of this debt financing is related to projects where the debt service payments will be paid 4 from Solid Waste Enterprise funds. 5 6 Based on current resources and the retirement of existing debt, no adjustment to the tax rate is 7 anticipated with this financing during the period noted. 8 9 Commissioner Price asked if using Grady Brown as collateral is a normal process; and if 10 the County has a surplus, why is it not being used for these projects, instead of increasing debt. 11 Gary Donaldson said there is a Capital Investment Plan (CIP), and there is a mix of 12 sources of income. He said these projects were deemed for financing, and the useful life of a 13 project is also considered. 14 Gary Donaldson said under state statue for installment financing, there must be 15 collateral that is comparable in value to that which is being financed. 16 Commissioner Jacobs asked if special authorization is given for the University of North 17 Carolina to borrow multi millions over 100 years. 18 Bob Jessup said UNC Board of Governors has asked for some legislation for 100 year 19 borrowing, which is currently capped at 30 years. He said there is currently no statutory limit for 20 installment financing, but the Local Government Commission wants the payment schedule to be 21 about the length of the useful life of the asset. He said it would take additional state legislation 22 to authorize that type of long-term financing. 23 Commissioner Jacobs asked if there is any place in the United States where this type of 24 borrowing is used. 25 Bob Jessup said the District of Columbia or Washington Metro transit borrowed 100- 26 year money to finance a wide range of long lasting improvements. He said others, such as for 27 profit organizations and some public universities, have used it. 28 29 A motion was made by Commissioner Burroughs, seconded by Commissioner Pelissier 30 for the Board to approve the final financing resolution authorizing the issuance of approximately 31 $8,150,000 in installment financing to finance capital investment projects and equipment for 32 fiscal year 2015-16, including amounts to pay transaction costs. 33 34 VOTE: UNANIMOUS 35 36 b. Establishment of a Policy to Provide the Board of Equalization and Review 37 Guidance on the Imposition of Penalties 38 The Board considered adopting a policy to provide assistance to the Board of 39 Equalization and Review in determining how and when to compromise tax penalties. 40 41 BACKGROUND: 42 The Board of County Commissioners indicated the need to have a standardized policy for the 43 compromise of tax penalties in Orange County in order to avoid any appearance of unfairness 44 to Orange County taxpayers. Currently the Board of Equalization and Review has no guidance 45 in this area. A standardized approach to the compromise of tax penalties will benefit both the 46 Board of Equalization and Review (E&R) and the taxpayers of Orange County. 47 48 John Roberts said the BOCC encountered this issue, and directed him to bring back a 49 policy to provide guidelines to the E&R Board, for when tax penalties can be compromised. He 13 14 1 reviewed some example scenarios. He said the guidelines provide some discretion to the E&R 2 Board. 3 Commissioner Rich asked if there is a plan to educate the E&R Board. 4 John Roberts said he would provide guidance on this document, when the E&R Board 5 reconvenes this spring. 6 Commissioner Rich asked if John Robert's office provides legal guidance to the E&R 7 Board. 8 John Roberts said the E&R Board has not had any questions of his office, up to this 9 point. He said if questions were to arise, he would be happy to help. 10 Commissioner Jacobs thanked John Roberts for these guidelines. He referred to point 11 1.14, and said there have been struggles in the past with the Machinery Act and recognizing 12 that special circumstances required some amelioration of the penalties being paid. He asked if 13 these guidelines would aid the E&R Board in diverging from the Machinery Act. 14 John Roberts said this only applies to penalties for those who are late in paying taxes 15 and not applicable to issues addressed in the Machinery Act. 16 Commissioner Jacobs said the Machinery Act is very old. He said it may be helpful for 17 John Roberts to educate the BOCC regarding what the Machinery Act does and does not do, 18 as far as compromising for penalties. 19 John Roberts said he can provide this information to the Board. 20 John Roberts reviewed the structure of the document. 21 Chair McKee asked if sections 1.1 and 1.2 could be indented. 22 John Roberts said yes. 23 24 Policy Statement 25 It is the policy of Orange County to provide fair and equitable treatment to all residents of 26 Orange County. 27 Purpose 28 To provide an administrative guide whereby the Board of Equalization and Review may fairly 29 and equitably exercise compromise authority. 30 Applicability 31 Applies to all cases in which the Board of Equalization and Review may, subject to the 32 provisions of NCGS 105-312(k), compromise the imposition of penalties. 33 Procedure 34 1.1 Circumstances in which the Board of Equalization and Review may compromise are set out 35 in this section 1.1. 36 1.1.1 Economic Hardship. In situations in which the taxpayer has suffered economic hardship 37 that has severely impacted the taxpayer's ability to pay including but not limited to; a sudden 38 serious illness of the taxpayer or a member of the taxpayer's immediate family (parent, spouse, 39 or child of the taxpayer), the death of the taxpayer or a member of the taxpayer's immediate 40 family, a natural disaster such as a tornado, hurricane, fire, or accident that destroyed property 41 and records. 42 1.1.2 Fairness. In situations in which the taxpayer's tax payment was delayed or late either 43 entirely through the verifiable fault of a third party or in which a preponderance of the cause of 44 delay rests with a third party and not with the taxpayer. 45 1.1.3 Inequality. In situations in which a taxpayer in a similar or like situation received a 46 compromise and failure to compromise would result in a significantly unequal impact to the 47 taxpayer. 48 1.1.4 Special Circumstances. Circumstances specific to the taxpayer that, when observed and 49 considered by a reasonable and uninterested person, would appear to warrant a compromise of 50 an otherwise appropriate penalty. 14 15 1 1.2 Exceptions shall be made in some situations as provided in this section. 2 1.2.1 Penalties that are assessed as a result of a delay in payment caused by unsuccessful 3 strategies engaged by the taxpayer that intentionally seek to lower the valuation of taxpayer's 4 property or direct the revenue outside Orange County may not be compromised. 5 1.3 The burden is on the taxpayer to demonstrate by competent evidence he or she meets the 6 requirements for one or more of the reasons for compromise listed in section 1.1. 7 This policy may be reviewed annually and updated as needed by the Attorney's and Tax 8 Administrator's Offices subject to approval by the Board of County Commissioners. 9 10 A motion was made by Commissioner Jacobs, seconded by Commissioner Rich to 11 adopt the policy in order to provide the Board of Equalization and Review with needed guidance 12 for the imposition of tax penalties. 13 14 VOTE: UNANIMOUS 15 16 Chair McKee directed John Roberts to move forward with Commissioner Jacobs' 17 request for information regarding the Machinery Act. 18 19 c. Recommended Uses of General Fund Unassigned Fund Balance as of June 30, 20 2015 21 The Board considered approving the recommended uses of the $2.8 million in excess of 22 17% General Fund unassigned fund balance policy for: $1 million of the excess fund balance to 23 fund Affordable Housing Projects; and $1.8 million of the excess fund balance to be used to 24 fund priorities identified in the FY2016-17 budget. 25 Bonnie Hammersley said the purpose of this item is for direction from the BOCC on the 26 appropriation of the excess of unassigned fund balance. 27 Bonnie Hammersley said on a review of the BOCC Goals and Priorities, as well as a 28 review of the 2015-16 budget process, the recommendation is to direct $1 million of the excess 29 fund balance to Affordable Housing Projects; and $1.8 million of the excess fund balance be 30 used to fund priorities identified in the FY2016-17 budget. 31 Commissioner Price asked if the Manager will inform the Board for what the $1.8 million 32 is going to be used during budget discussions. 33 Bonnie Hammersley said she would. 34 Bonnie Hammersley said if approved as recommended, staff would come back to the 35 BOCC with any acquisitions. 36 Commissioner Jacobs referred to the affordable housing funds and asked if the BOCC 37 will adopt a policy first before funding. 38 Bonnie Hammersley said yes. 39 Chair McKee said in the past few years, fund balance dollars have been used to pay 40 down Other Post Employment Benefits (OPEB). He asked if this will be done through a regular 41 budget allotment, moving forward, and if there will be an OPEB payment made for 2015-16. 42 Bonnie Hammersley said the practice has been to use some past balances to pay down 43 some of OPEB, and she will be recommending this again in her 2016-17 budget. She said an 44 irrevocable fund will be created, going forward with OPEB. 45 Commissioner Dorosin said he appreciated this, and the aggressive movement on 46 affordable housing. He said the County budget is too conservative sometimes, and he would 47 like to re-visit how to use the excess in future years. 48 Commissioner Dorosin asked if every year that an excess occurs, if this process of 49 allocating excess funds will occur around this time. 15 16 1 Bonnie Hammersley said excess is not predicted each year going forward. She said 2 she was directed not to have more than 17% in the fund balance, and it has been consistent in 3 the past few years in order for there to be this excess. She said it always better to have excess 4 than be in the red. 5 Bonnie Hammersley said the 2016-17 budget is a bit more aggressive, and there may 6 not be excess funds next year. 7 8 A motion was made by Commissioner Rich, seconded by Commissioner Burroughs for 9 the Board to approve the recommended uses of the $2.8 million in excess of 17% General 10 Fund unassigned fund balance policy for: 11 • $1 million of the excess fund balance to fund Affordable Housing Projects; and 12 • $1.8 million of the excess fund balance to be used to fund priorities identified in the 13 FY2016-17 budget. 14 15 VOTE: UNANIMOUS 16 17 8. Reports 18 NONE 19 20 9. County Manager's Report 21 Bonnie Hammersley reminded the Board that April 26th will be a joint meeting with the 22 schools. 23 Bonnie Hammersley said at the May 5th regular meeting, she will be presenting the 24 2016-17 budget. She said the Board will receive the budget document that evening, instead of 25 in advance, as done in previous years. She said the process has been moved up two weeks 26 this year. 27 28 10. County Attorney's Report 29 John Roberts referred to Commissioner Jacobs' request about a living wage for 30 vendors, saying he reviewed the minutes from a past meeting and found there was no directive 31 given when the topic was last discussed. He said the County could have a policy to encourage 32 a living wage be paid for all contracts. He said there are existing limitations, and may be more 33 limitations as a result of HB2. 34 Chair McKee said he will be asking for a closed session at the end of the meeting. 35 36 11. Appointments 37 a. Animal Services Hearing Panel Pool —Appointments 38 The Board considered making appointments to the Animal Services Hearing Panel Pool. 39 John Roberts reminded the Board that when it created this hearing panel, the Board 40 wanted it to be quasi-judicial. He said several of these applicants state in their applications that 41 they desire these positions in order to advocate for animals, and as a result his staff is 42 concerned whether these applicants can be impartial. 43 Commissioner Pelissier said she had concerns about the same thing. She said there 44 are no applicants to fill the public health, public safety, and veterinarian positions. She said 45 Animal Services has reached out to try and drum up more applicants. She said it is important 46 to wait on the convening of this panel until all the desired positions are filled. She said variety 47 on this panel is important. 48 John Roberts said it is difficult to garner applicants for these positions. He said if a 49 hearing needed to be held, the plan is to draw members from the Animal Services Advisory 50 Board, but he is unsure if this plan would stand up to an appeal. 16 17 1 Commissioner Burroughs said she asked Bob Marotto, Director of Animal Services, at 2 the time this panel was created, if it would difficult to garner applicants, and he said, "we'll see". 3 Commissioner Burroughs said the plan for this hearing panel may need to be revisited 4 at some point. She said this is the only vote she has second-guessed in her time as a 5 Commissioner. 6 Commissioner Dorosin said it is unrealistic to think that people volunteering for this 7 panel would not be animal advocates. He said he appreciates the Attorney's concerns, but he 8 does not share them. He said the proposal strikes a good balance, and he believes the Board 9 is doing the right thing. 10 11 A motion was made by Commissioner Dorosin, seconded by Commissioner Price to 12 appoint the following to the Animal Services Hearing Panel Pool: 13 14 • Hannah Abernathy to Position #1--- "At-Large Town of Carrboro" position expiring 15 03/31/2017. 16 • Katie Rosier to Position #2--- "At-Large Town of Carrboro" position expiring 17 03/31/2018. 18 • Bartholomew Barker to Position #5--- "At-Large Town of Hillsborough" position 19 expiring 03/31/2018 20 • Joy Preslar to Position #9--- "At-Large" position expiring 03/31/2019. 21 • Edmund Tiryakian to Position #10--- "At-Large" position expiring 03/31/2017. 22 23 VOTE: UNANIMOUS 24 25 b. Economic Development Advisory Board —Appointment 26 The Board considered making an appointment to the Economic Development Advisory 27 Board. 28 29 A motion was made by Chair McKee, seconded by Commissioner Rich to appoint the 30 following to the Economic Development Advisory Board: 31 32 • Appointment to a first full term (Position #8) "Core Business Community" for John 33 Anderson expiring 06/30/2018. 34 35 VOTE: UNANIMOUS 36 37 c. Historic Preservation Commission —Appointments 38 The Board considered making appointments to the Historic Preservation Board. 39 40 A motion was made by Commissioner Rich, seconded by Commissioner Price to 41 appoint the following to the Historic Preservation Board: 42 43 • Appointment to a second full term (Position #5) "At-Large" for Dr. Robert Ireland expiring 44 03/31/2019. 45 • Appointment to a first full term (Position #6) "At-Large" for Art Menius expiring 46 03/31/2016. 47 • Appointment to second full term (Position #7) "At-Large" for Susan Ballard expiring 48 03/31/2019. 49 50 VOTE: UNANIMOUS 17 18 1 2 d. Nursing Home Community Advisory Committee —Appointments 3 The Board considered making appointments to the Nursing Home Community Advisory 4 Committee. 5 6 A motion was made by Commissioner Price, seconded by Commissioner Rich to 7 appoint the following to the Nursing Home Community Advisory Committee: 8 9 • Appointment to a full term (Position #6) "At-Large" position for Ed Flowers expiring 10 03/31/2019. 11 12 VOTE: UNANIMOUS 13 14 e. Orange County Parks and Recreation Council —Appointments 15 The Board considered making appointments to the Orange County Parks and 16 Recreation Council. 17 18 A motion was made by Commissioner Rich seconded by Commissioner Burroughs to 19 appoint the following to the Orange County Parks and Recreation Council: 20 21 • Appointment to a first full term (Position #2) "Hillsborough Township" for John Greeson 22 expiring 03/31/2019. 23 • Appointment to a first full term (Position #12) "At-Large" for Dr. Thomas Rhodes expiring 24 03/31/2019. 25 26 VOTE: UNANIMOUS 27 28 12. Board Comments 29 Commissioner Pelissier had no comments. 30 Commissioner Price attended the North Carolina Tomorrow 2016 Summit, and it was a 31 good conference. 32 Commissioner Dorosin had no comments. 33 Commissioner Jacobs said he would like to congratulate the Department on Aging for 34 winning another outreach award related to Mandarin speaking seniors. 35 Commissioner Jacobs said this is National Animal Care and Control Appreciation Week. 36 Commissioner Jacobs said he attended a meeting where the Fire Marshal met with 37 citizens who were upset about a fireworks display last year. He said about two dozen people 38 attended at the Orange Grove Fire Station. He said the Marshal explained the evening in 39 question had unusual atmospheric conditions, and those in attendance asked if the types of 40 fireworks used could be reviewed. He said the Fire Marshal agreed to look in to the question, 41 which seemed to satisfy the public. 42 Commissioner Jacobs said he attended the Democratic convention, and the word 43 environment was never mentioned. 44 Commissioner Rich said she and Chair McKee met with the Dogwood Acres neighbors 45 about safety on Smith Level Road. She said next steps were determined, and she and Chair 46 McKee will work on this. She said the neighbors seemed appreciative. 47 Commissioner Burroughs said she had no comments. 48 Chair McKee referred to Commissioner Rich's comments about the Dogwood Acres 49 meeting, and said he talked with the Sheriff, who committed to increase patrolling in that area. 18 19 1 He said increased patrolling has helped control speeding in the past. He said the Department 2 of Transportation will trim the growth in the area, which can obstruct sight. 3 Chair McKee said he attended the Livestock Show last week, which is more diverse and 4 inclusive than ever before. He said it is a wonderful event, which all should attend. 5 6 13. Information Items 7 • April 5, 2016 BOCC Meeting Follow-up Actions List 8 • Memorandum - Solid Waste Department Awarded Year-long Interns from UNC's 9 Department of Health Behavior for 2016-17 10 • BOCC Chair Letter Regarding Petitions from April 5, 2016 Regular Meeting 11 12 14. Closed Session —Added to the agenda. 13 14 A motion was made by Commissioner Dorosin, seconded by Commissioner Rich to go 15 into closed session at 9:09 p.m. for the purpose of: 16 § 143-318.11(a)(3) To consult with an attorney employed or retained by the public body in order 17 to preserve the attorney-client privilege between the attorney and the public body. 18 19 VOTE: UNANIMOUS 20 21 RECONVENE INTO REGULAR SESSION 22 23 A motion was made by Commissioner Price, seconded by Commissioner Rich to 24 reconvene back into regular session at 9:35 p.m. 25 26 VOTE: UNANIMOUS 27 28 15. Adjournment 29 30 A motion was made by Commissioner Price, seconded by Commissioner Rich to 31 adjourn the meeting at 9:35 p.m. 32 33 VOTE: UNANIMOUS 34 35 36 Donna Baker, Clerk to the Board 37 38 39 Earl McKee, Chair 40 41 19 1 1 Attachment 3 2 3 DRAFT MINUTES 4 ORANGE COUNTY BOARD OF COMMISSIONERS 5 CHAPEL HILL-CARRBORO BOARD OF EDUCATION 6 ORANGE COUNTY BOARD OF EDUCATION 7 JOINT MEETING 8 April 26, 2016 9 10 The Orange County Board of Commissioners met for a joint session with the Chapel 11 Hill—Carrboro Board of Education and the Orange County Board of Education on Tuesday, April 12 26, 2016 at 7:00 p.m. at the Southern Human Services Center in Chapel Hill, N.C. 13 14 COUNTY COMMISSIONERS PRESENT: Chair Earl McKee and Commissioners Mia 15 Burroughs, Mark Dorosin, Barry Jacobs, Bernadette Pelissier, Renee Price and Penny Rich 16 COUNTY COMMISSIONERS ABSENT: 17 COUNTY ATTORNEYS PRESENT: John Roberts 18 COUNTY STAFF PRESENT: County Manager Bonnie Hammersley, Deputy Clerk Travis 19 Myren and Clerk to the Board Donna S. Baker (All other staff members will be identified 20 appropriately below) 21 ORANGE COUNTY BOARD OF EDUCATION MEMBERS PRESENT: Chair Donna Coffey, 22 and Board Members Brenda Stephens, Steve Halkiotis, Millicent Rainey, and Superintendent 23 Todd Wirt and Deputy Superintendent Pam Jones were also present. 24 ORANGE COUNTY BOARD OF EDUCATION MEMBERS ABSENT: Tom Carr, Tony 25 McKnight, Jessica Aguilar 26 CHAPEL HILL-CARRBORO CITY SCHOOL BOARD OF EDUCATION MEMBERS PRESENT: 27 Chair James Barrett and Board Members Joal Broun, Rani Dasi, Pat Heinrich, and Margaret 28 Samuels and Superintendent Tom Forcella, and Assistant Superintendent Todd LoFrese were 29 also present. 30 CHAPEL HILL-CARRBORO CITY SCHOOL BOARD OF EDUCATION MEMBERS ABSENT: 31 Annetta Streater and Andrew Davidson 32 33 Chair McKee called the meeting to order at 7:05 p.m. 34 35 Chair McKee noted the following items at everyone's places: 36 - White sheet—supplement levels and teachers' status on base salaries 37 - Green sheet— draft resolution to increase per pupil funding and fully fund public schools 38 on the state level 39 40 Welcome and Opening Remarks — Chair Barrent, Chair Coffey and Chair McKee 41 Chair McKee welcomed everyone and applauded the districts' efforts to work 42 collaboratively towards the best education possible for the children of Orange County. 43 Chair Coffey said she looked forward to a good and productive meeting. 44 Chair Barrett thanked all for being here tonight. He said he is excited about the budget 45 in front of the Board, noting it focuses on raising teacher salaries. 46 47 1) Follow-up Discussion from the April 12, 2016 County/Schools Work Session 48 Bonnie Hammersley said the Managers and Superintendents met last week and 49 discussed a process for updating the construction standards. She said Orange County will 2 1 review them first, and will then work with the schools' staff. She said this will be brought back to 2 all of the boards in the fall. 3 4 2) Presentation of Chapel Hill-Carrboro City Schools and Orange County Schools 5 Boards of Education Approved FY2016-17 Budgets 6 Tom Forcella said this is a joint presentation, and Chapel Hill-Carrboro City Schools 7 (CHCCS)will speak first. 8 Tom Forcella said the needs of both school districts were studied closely, and it was 9 found that the needs are similar. He thanked both Boards of Education for a willingness to try 10 something different this year and for engaging in conversation prior to this meeting. 11 Tom Forcella recognized Durham Tech leaders, noting the efforts made by all to find 12 ways for the schools to partner with Durham Tech. 13 Tom Forcella said each superintendent will present an overall perspective, and then 14 staff will make a collaborative presentation regarding each district's budget. 15 Tom Forcella said the CHCCS budget request focuses mainly on teacher salaries and 16 keeping the local supplement competitive. He said the CHCCS teacher turnover rate is about 17 18%, and the Board of Education (BOE) prioritized a teacher supplement increase prior to any 18 other budget request. He said the BOE determined this prioritization was needed to be able to 19 compete for teachers in this region. 20 Tom Forcella said Project Advance will not affect this particular budget; but going 21 forward, teacher compensation would be determined by professional growth instead of years of 22 service. 23 Tom Forcella said the Board will see that CHCCS has worked closely with the Orange 24 County Schools (OCS) on these budget requests. 25 Todd Wirt said the districts have worked together collaboratively on these proposed 26 budgets, and the OCS budget supports their strategic plan. 27 Pam Jones and Todd LoFrese made the following PowerPoint presentation: 28 29 ORANGE COUNTY SCHOOLS 30 CHAPEL HILL-CARRBORO CITY SCHOOLS 31 Pam Jones presented this portion of the presentation: 32 33 OCS 2016-17 Budget Request 34 35 FY17 Student Enrollment Projection 36 • FY17 District Enrollment Projection: 7,981 37 — Includes DPI ADM projection of 7,551 (kids in seat) 38 — Includes 519 charter students based on FY 2016 actual (additional) 39 — Out-of-district students reduction (currently 89) 40 • Revenue at current per pupil: $29,509,748 41 42 Total Continuation and Expansion Request 43 • Continuation: $1,886,240 44 • FY2016 Per Pupil = $3,697.50 45 • Per Pupil required to fund continuation only is $3,851 46 • An additional $153 per pupil required continuation only 47 • Expansion (Supplements): $1,900,000 48 • Total additional funds requested: $3,786,240 49 • Per Pupil required for continuation and expansion is $4,088, a $391 increase over 50 FY2016. 3 1 2 Expenses: Continuation Only 3 • MANDATED SALARY/BENEFITS INCREASES: 4 — Projected at 5% Certified; 3% Classified staff 5 • Student Growth (25 students) 6 • Charter School students growth (165 students) $ 1,496,240 7 • FEDERALLY FUNDED POSITIONS (e.g. Title I) $ 130,000 8 — Salary and benefit increases 9 • Exceptional Children's Program added classes $ 260,000 10 Total: $1,886,240* 11 *$153 increase in current per pupil would be required 12 13 CHCCS 14 Todd LoFrese presented the following PowerPoint slides: 15 16 2015-17 Student Enrollment Projection 17 2016-17 DPI Enrollment Projection 12,017 18 Less: Out-of-County Students (241) 19 Plus Charter School Students (projected) 271 20 Total County Resident Students 11,993 21 22 Projected Local Continuation Budget Increases 23 State Mandates 24 • 5% state pay raise for teachers $1,106,000 25 • 3% pay raise for other employees $ 683,647 26 • State retirement match increase (15.32% to 15.47% estimated) $ 244,845 27 • Employer health insurance match increase ($5471 to $5580 estimated) $ 96,200 28 Subtotal $2,130,692 29 30 Continuation of Current Services 31 • Continued funding for state teacher assistant budget reduction $ 306,161 32 • Human Resources compliance position (mid-year hire) $ 55,000 33 • Accounts Payable technician/position upgrade (mid-year hire) $ 30,000 34 Subtotal $ 391,161 35 36 TOTAL OF CONTINUATION BUDGET REQUESTS $2,521,853 37 38 Local Expansion Budget Requests 39 Priority Expansion Requests 40 • Teachers' Local Supplement Proposal $1,840,983 41 • Classified Employee Pay Study Salary Adj. - 2nd Phase $ 200,000 42 • Tuition Reimbursement Program for EC Teacher Assists. $ 50,000 43 Total Expansion Requests $2,090,983 44 45 Total of State Mandates, Continuation of Current Services, and Priority Expansion 46 Requests 47 • Mandates $2,130,692 48 • Current Services $ 391,161 49 • Expansion $2.090.983 50 GRAND TOTAL $4,612,836 4 1 2 Revised Projected Local Revenue Changes 3 ADDITIONAL REVENUE NEEDED $4,612,836 4 Less Projected Local Revenue Changes: 5 • 1.5% Inflationary Increase to District Tax $ 331,415 6 • Net Changes to other Local revenues (183,784) 7 • Total $ 147,631 8 Required Increase in County Appropriation $4,465,205 9 REQUIRED PER PUPIL INCREASE $446.76 10 EQUIVALENT TO 4.40 CENTS AD VALORUM TAX INCREASE 11 CURRENT PER PUPIL $3697.50+ $446.76 increase = $4,144.26 for 2016-17 12 13 Recruitment and Retention is our Budget Priority 14 • Turnover rates are at all-time highs 15 • Difficulty recruiting Math, Science, Exceptional Children, and even elementary 16 classroom teachers 17 • NC School of Education enrollment down 30% (source DPI) 18 • Increased regional competition 19 • Both districts have prioritized local supplement increases 20 21 Commissioner Rich asked if there is a specific body that oversees charter schools. 22 Todd LoFrese said a branch within the Department of Public Instruction (DPI), and the 23 district has no involvement, other than to serve as a pass through for funds. 24 Commissioner Jacobs asked if the funding per pupil in charter schools is the same as 25 students in regular public schools, even though public schools have to provide many additional 26 services than the charter schools. 27 Todd LoFrese said yes. 28 Commissioner Jacobs asked if it must be done this way. 29 Todd LoFrese said it is state law. 30 Pam Jones said legislation is expected that will allow charter schools to lay claim to local 31 districts fund balances and grant monies. 32 Commissioner Jacobs asked if a charter school purchases property and then goes out 33 of business, to whom would the property revert. 34 Todd LoFrese it would ultimately revert back to the local school district, but it more 35 common for charter schools to rent properties. 36 Pam Jones said virtual charter schools do not get the same funding as brick and mortar 37 charter schools. 38 Pam Jones resumed the presentation: 39 40 Sole Expansion Request 41 • $1,900,000*: Supplement Adjustments 42 *EXPANSION REQUEST requires $238 increase in current per pupil 43 44 OCS Supplements 45 * PAY BANDS BASED ON ORANGE COUNTY SCHOOLS EXPERIENCE ONLY 46 • CURRENT PAY BANDS* 47 • 10%--Non-Tenured 48 • 11.5%--Under 10 Years 49 • 14%--Over 10 Years 50 • 12%--Directors 5 1 • 8%--Coordinators 2 • 6%--Classified Staff 3 4 • PROPOSED PAY BANDS* 5 • 14%--0-5 Years 6 • 16%--6-13 Years 7 • 18%--14-20 Years 8 • 20%--20+ Years 9 • 13%--Directors 10 • 9%--Coordinators 11 • 7%--Classified Staff 12 13 Commissioner Dorosin asked about supplements for experienced teachers that move 14 from county to county. He clarified that OCS only recognizes experience within Orange County, 15 and asked if CHCCS is the same. 16 Todd LoFrese said CHCCS recognizes experience from anywhere. 17 Commissioner Dorosin said starting a teacher with experience at zero, when they arrive 18 in Orange County, seems counter intuitive to recruiting quality teachers. He asked if the 19 practices of other counties are known. 20 Todd LoFrese said Wake County pays what is on the teacher's state license. 21 Commissioner Dorosin said there cannot be such disparity between the local counties, 22 especially if the hiring of high quality teachers is the goal. 23 Tom Forcella said to rectify this practice and adjust the supplements all in one year, 24 would require a substantially higher dollar amount. 25 Todd LoFrese said this practice was tied to the tenure process, and once a teacher is 26 tenured, they are released according to years of experience on their certification. 27 28 Assistant Principal Supplements 29 *PAY BANDS BASED ON ORANGE COUNTY SCHOOLS EXPERIENCE ONLY 30 31 CURRENT PAY BANDS* 32 Assistant Principals 33 — 11.5%--Under 10 Years 34 — 14% ---Over 10 Years 35 36 PROPOSED PAY BANDS* 37 Assistant Principals 38 • Appropriate experience pay band plus: 39 — 1%--ELEMENTARY A/P 40 — 3%--MIDDLE SCHOOL NP 41 — 5%--HIGH SCHOOL NP 42 43 Supplements 44 • Supplement Increase 45 — Certified Staff $1,783,000 46 — Classified Staff $ 117,000 47 $1,900,000 48 49 Beqinninq Teacher Impact Example 50 CURRENT 6 1 • 0 YEARS OF SERVICE 2 • SALARY-BACHELOR'S: $35,000 3 • SUPPLEMENT (10%): $ 3,500 4 TOTAL ANNUAL SALARY-BACHELOR'S: $38,500 5 6 • SALARY-MASTER'S: $38,500 7 • SUPPLEMENT: $ 3,850 8 TOTAL ANNUAL SALARY: MASTER'S $42,350 9 10 • SALARY-DOCTORAL: $49,236 11 • SUPPLEMENT $ 4,924 12 TOTAL ANNUAL SALARY DOCTORAL $54,160 13 14 PROPOSED 15 • 0 YEARS OF SERVICE 16 • SALARY-BACHELOR'S: $35,000 17 • SUPPLEMENT (14%): $ 4,900 18 TOTAL ANNUAL SALARY-BACHELOR'S $39,900 19 20 • SALARY-MASTER'S: $38,500 21 • SUPPLEMENT: $ 5,390 22 TOTAL ANNUAL SALARY: MASTER'S $43,890 23 24 • SALARY-DOCTORAL: $49,236 25 • SUPPLEMENT $ 6,893 26 TOTAL ANNUAL SALARY DOCTORAL $56,129 27 28 Veteran Teacher Impact Example 29 CURRENT 30 • 20-YEARS OCS EXPERIENCE 31 • SALARY-BACHELOR'S: $46,500 32 • SUPPLEMENT (14%): $ 6,510 33 TOTAL ANNUAL SALARY: BACHELOR'S $53,010 34 35 • SALARY-MASTER'S: $51,150 36 • SUPPLEMENT: $ 7,161 37 TOTAL ANNUAL SALARY: MASTER'S $58,311 38 39 • SALARY-DOCTORAL: $53,680 40 • SUPPLEMENT $ 7,515 41 TOTAL ANNUAL SALARY: DOCTORAL $61,195 42 43 PROPOSED 44 • 20-YEARS OCS EXPERIENCE 45 • SALARY-BACHELOR'S: $46,500 46 • SUPPLEMENT (20%): $ 9,300 47 TOTAL ANNUAL SALARY: BACHELOR'S $55,800 48 49 • SALARY-MASTER'S $51,150 50 • SUPPLEMENT $10,230 7 1 TOTAL ANNUAL SALARY: MASTER'S $61,380 2 3 • SALARY—DOCTORAL: $53,680 4 • SUPPLEMENT $10,736 5 TOTAL ANNUAL SALARY: DOCTORAL $64,416 6 7 Commissioner Jacobs asked if OCS does exit interviews. 8 Pam Jones said the OCS Human Resources department does these, and some people 9 are forthcoming, while others are not. 10 Commissioner Jacobs said there is no empirical data to understand the reasons that 11 teachers are leaving. 12 Todd LoFrese said there is historical data reported on an annual basis, which highlights 13 by reason. 14 Commissioner Jacobs asked if this information could be forwarded to the Board. 15 Todd LoFrese resumed the presentation: 16 17 CHCCS Supplement Expansion Request 18 • Requesting $1,840,983 to increase the district's local supplement 19 20 Current CHCCS Supplements - graph 21 22 Area School District Supplements - graph 23 24 Current Teacher Supplement Wake vs. CHCCS - graph 25 26 Current Teacher Supplement Wake vs. CHCCS- Ex. Children - graph 27 28 April 7, 2016 Board Action 29 --Approved a Supplement Increase for New Teachers and those who opt into ADVANCE 30 --Positively impacts 900+ teachers (over 75%) 31 --Restores Competitive Position 32 --Base Compensation is Critical 33 34 Chair McKee asked if the Wake County teacher assistant (TA) to child ratio is less than 35 CHCCS. 36 Todd LoFrese said yes. He said having a TA in a classroom is a benefit. 37 Commissioner Jacobs asked if there is survey data from teachers about what is the 38 basis for job satisfaction. He asked if it is the salary, the supplement, the TA, proximity to 39 home, additional support staff, etc. 40 Todd LoFrese said he does not have that information, but everything sited by 41 Commissioner Jacobs are factors. 42 Tom Forcella said in his experience in other parts of the country where there are 43 teachers' unions, salary was always the highest indicator of job satisfaction. 44 Commissioner Price clarified that Tom Forcella is saying teachers would rather have 45 higher salaries than a TA. She asked if this is true in CHCCS. 46 Tom Forcella said he cannot speak for every teacher, and he said the goal is to get 47 closer to the Wake County supplement. He said Teacher Assistants (TAs) are important, but if 48 a teacher cannot afford to pay rent and buy food, the value of the TA drops. 49 Commissioner Price asked if, as it relates to success in the classroom, it is more 50 important for a teacher to have a high salary than a TA. 8 1 Tom Forcella said he would prefer to have high quality teachers, and to do so, salaries 2 must be competitive. 3 Commissioner Jacobs asked if the budget proposal should be to reduce the number of 4 TAs in order to pay for the increase in the teacher supplement. 5 Tom Forcella said the best possible scenario is a high quality teacher with a TA in the 6 classroom. He said to remain competitive teachers' salaries must be raised. 7 Chair Barrett said CHCCS has larger class sizes in comparison to other districts across 8 the State. He said this is due to there being a TA in the classroom. He said it is a balancing 9 act. 10 Todd LoFrese resumed the presentation: 11 12 2016-17 Certified Supplements - chart 13 14 Salaries, Supplement, and ADVANCE 15 • Teacher pay = 3 components 16 — State base 17 — Local supplement (eventually all at 16%) 18 — ADVANCE differentials beginning 2017-18 19 • Budget Request for 2016-17: 20 — Fund 16% Supplement 21 — Remain competitive 22 • 2017-18 and beyond: ADVANCE goal is to be cost neutral based on attrition 23 24 Commissioner Dorosin clarified that the request is to make the supplement 16% across 25 the board, regardless of experience, for new employees. He asked if the BOE approved the 26 Project Advance program on April 7th. 27 Todd LoFrese said that vote was to increase the supplement from 12-16% for all new 28 teachers, and for current teachers with zero to 19 years of experience. 29 Commissioner Dorosin said the District has already committed to fund this raise, and 30 asked if the BOCC does not fund the full request, will the BOE find the money somewhere in 31 existing funds, at the expense of other projects. 32 Todd LoFrese said yes, as this is the only way to stay competitive during recruitment 33 season. 34 Commissioner Dorosin said it seems that Wake County still has a graduated model, and 35 asked if the new model in CHCCS will be graduated. 36 Tom Forcella said no, but if the teachers earn the Advance dollars then CHCCS is 37 competitive to Wake County. He said the speed at which teachers earn these dollars will vary. 38 Commissioner Rich asked if teachers in Wake County must earn extra dollars. 39 Tom Forcella said CHCCS teachers will all get 16%, but must earn additional dollars 40 through professional development. 41 Todd LoFrese said Wake County is a longevity-based system. 42 Commissioner Jacobs asked if the goal of the Wake County Schools is to reach the 43 national average in teacher salary in the next five years. 44 Todd LoFrese said yes. 45 Commissioner Jacobs asked if CHCCS considered doing something similar, to allow 46 time for the legislature to change and release some of the burden on Orange County. 47 Todd LoFrese said the long-term cost of settling on third or fourth choice teachers is 48 unknown. He said the action taken in the fall was step one in a 5-year plan for Wake County. 49 He said CHCCS is trying to catch up with Wake County; but if Wake County keeps moving 50 forward, then the gap continues to increase. 9 1 Pat Heinrich said he echoed Todd LoFrese's comments. He said it is already difficult to 2 fill some of the Exceptional Children (EC) and elementary positions. He said this problem 3 would only increase if CHCCS continues to be behind Wake County. 4 Commissioner Dorosin asked if in CHCCS, unlike Wake County, there is not going to be 5 any differentials for EC teachers. 6 Todd LoFrese said signing bonuses are offered for high need teaching areas, such as 7 math, science and EC. 8 Commissioner Dorosin asked if the number of participants that the $50,000 program 9 can cover is known. 10 Todd LoFrese said ten teachers over two years. 11 Commissioner Price said with the existing schedule, a teacher with 20 years of 12 experience does better is CHCCS than Wake County. She asked if this will be the same with 13 the new system. 14 Todd LoFrese said if a teacher moves through the Advance program at a reasonable 15 pace, that teacher would be at 20-25%; which makes up the difference. He said a teacher that 16 moves through the Advance system quickly could earn a higher salary faster than under the 17 current model. 18 Chair McKee asked if recruiting quality teachers is a problem across the State. He said 19 he understands that Wake County is experiencing these same problems. 20 Tom Forcella said Wake County did not have their new salary schedule in place during 21 recruitment season last spring. 22 Chair Barrett said Wake County has 157,000 students, so it will always be recruiting, 23 and have more openings at any given time than CHCCS, and thus more opportunities. 24 Commissioner Dorosin said CHCCS is proposing is 2.66% tax increase, and OCS is 25 proposing a 2.26% tax increase. He asked if the BOEs sense that Orange County residents will 26 pay more for schools. He said this is a lot to ask of the residents. 27 Steve Halkiotis said that is a decision the Board of County Commissioners has to make, 28 and the BOE are just asking for what the children need. 29 Rani Dasi said these requests have been communicated to the community, and it 30 seems the community will lend its support. 31 Chair McKee said CHCCS has moved forward with the plan to raise teacher 32 supplements, and asked if there is a fall back plan if the BOCC does not honor all of the 33 requests. 34 Chair Barrett said if the topic of cuts is greatly discussed, employees get nervous and 35 may look for other jobs. He said if the requests are not fully funded, then hard decisions will 36 have to be made going forward. 37 Chair McKee said deciding about the supplement before the Board of County 38 Commissioners has an opportunity to discuss it makes things difficult. 39 Pat Heinrich said the CHCCS BOE did conclude that if the requests are not fully funded, 40 there will have to be a dramatic shift in how the education is delivered to the children. 41 Chair McKee said he understands this, but noted there is also a bond on the horizon, 42 which will call for tax increases as well. 43 Commissioner Jacobs thanked the CHCCS BOE for taking a different approach than 44 their predecessors, who repeatedly used the threat of cuts to get what they wanted. He said 45 this ratcheted up the conversation and caused a lot of distress for all involved. He said he 46 greatly appreciates the straight discussion. 47 Commissioner Jacobs said the CHCCS took the 16% supplement action, on the 48 understanding that there may be consequences. He said this is the reason that he bought up 49 the idea of phasing it in. 50 Commissioner Jacobs suggested there should be a fall back position. 10 1 Chair Coffey said the budget requests were not easy decisions. She said the requests 2 could have been a lot larger, because the needs are great. She said if things do not improve in 3 Raleigh, the list of needs will only grow. 4 Chair Coffey said it is their responsibility to present the needs. She said tonight there is 5 a community-wide need, and this is the first time that these two budgets have been so similar. 6 Margaret Samuels said if teachers are weaker in the lower grades, issues for kids may 7 get worse going forward. She said this is the year that the teachers must be supported. 8 Commissioner Rich said all involved want to support teachers. She said this is a never- 9 ending issue, and it is difficult to sustain long term. She said higher taxes are driving people 10 out of the County. 11 Commissioner Price echoed Commissioner Rich's comments. She said there is an 12 income gap in Orange County, and it is one of the worst in the country. 13 Commissioner Price said she is concerned about the children in Orange County, 14 especially those on reduced and free lunches. She asked if free lunches can be provided to all, 15 so as to avoid the stigma of having to get special assistance. 16 Commissioner Dorosin said the loss of tenure will make the competition for staff worse. 17 Pam Jones resumed the presentation: 18 19 Fund Balance Appropriation for OCS 20 Fund Balance Appropriation approved for: 21 • $286,909: One-year pilot: Universal Breakfast Service at K-5 schools 22 • $175,000: One-year pilot: Elementary School Environmental Enhancement Program 23 • $62,000: Efficiency study recommendations 24 • $86,000: Wrecker for school buses 25 • $62,000: Mini-track loader for Maintenance 26 • $30,000: On-line enrollment program for students 27 Total Fund Balance Appropriation: $701,909 28 29 Pam Jones said the threshold for the OCS fund balance is 3% and 5.5% for CHCCS. 30 She said OCS may raise this in the future. 31 Todd LoFrese resumed the presentation for CHCCS: 32 33 Fund Balance Projection 34 • Projected Unassigned Fund Balance as of 6/30/16: 35 $3,900,000 to $4,400,000 36 • FY2017 Fund Balance Appropriation: $701,909 37 38 Fund Balance 39 • 6/30/2016 unassigned fund balance est. $4.1 - $4.6 million 40 • Board 2016-17 budget assigns $1,868,000 41 • We estimate that we could appropriate up to $900,000 for 2016-17 budget needs and 42 still maintain the targeted undesignated fund balance of 5.5%. 43 • Ideally this should be used for one-time expenditures 44 45 Chair McKee asked if the above figures exclude the fund balance that was appropriated 46 in December. 47 Todd LoFrese said that is correct. He said it is a part of the total budget request for 48 balancing the budget. 11 1 Commissioner Burroughs said she is pleased that the two districts are working 2 collaboratively. 3 Commissioner Burroughs said she is not in a panic yet about the budget requests, and 4 she complimented the Manager on her hires for the Chief Financial Officer and Deputy 5 Manager. She said more details will be known about the budget this year, and there may be a 6 little wiggle room. 7 Commissioner Burroughs said there are things that the BOCC can delay in funding. 8 Commissioner Dorosin appreciated the collaboration, and said the goal next time should 9 be to come in with the same per pupil request for both districts. 10 Commissioner Dorosin said it is a mistake to consider these times as a crisis, because 11 this is the current reality, which may last another four years given the issues in the legislature. 12 He said there are also other counties that do not prioritize education. 13 Commissioner Dorosin said the school districts should look at what else goes into 14 recruitment and retention of teachers. He said there are other factors besides pay that drives 15 teachers out of their jobs, some of which are uniquely in control of the BOE. 16 Commissioner Dorosin extended his sincere compliments to OCS for adopting a 17 resolution asking for the repeal of HB2. 18 Commissioner Pelissier said one of her concerns is that less people are going into 19 education training, and therefore there will be less people from which to recruit. She said she 20 wanted to know how many teachers are leaving due to actually leaving the profession. She 21 echoed the compliments to the districts for their collaborative efforts. 22 Commissioner Pelissier referred to the tax issue, and said her real concern is that 23 services continue to increase in cost, and the government needs to be able to respond 24 accordingly to be able to provide services and education. She said there certainly must be 25 serious thought given prior to raising taxes. She said it is a complex topic, and general 26 statements can be harmful. She said a lot is being done for those in need in Orange County. 27 Chair Barrett referred to Commissioner Burroughs comments regarding a state increase 28 in teacher pay, and said the legislature may cut other items, thus eradicating any buffer that 29 may be in place. 30 Chair Barrett said part of the reasons there are cuts in education at the state level is 31 because the income taxes were cut. He said this difference may have to be made up locally. 32 Steve Halkiotis thanked the Board of County Commissioners for what it can do in 33 regards to education. He said it was wonderful to see the two districts work together. He said 34 there is a rise in serious needs amongst the families of Orange County, but he knows the 35 BOCC and the BOEs are going to do the very best with the resources available in these times 36 where education is under attack. 37 Todd Wirt said for years the value of experience within Orange County Schools has 38 been stressed. He said OCS understands that a great number of variables go into recruitment 39 and retention, and commitments are being made to these things when possible. He said he 40 wants higher salaries for the teachers, and he wants TAs, as both are valuable. 41 Rani Dasi thanked the BOCC for its support of education. She said salary is not the 42 highest priority for teachers, when it is within a normal range. She said her salary as a starting 43 teacher 25 years ago is the same as what the districts are seeking to offer now, noting that 44 there are many inflationary issues to consider. She said the State has created this problem, but 45 the children cannot wait another year to have a quality teacher. 46 Commissioner Jacobs wanted to bring up the topic of raising school impact fees. He 47 said this topic should be considered going forward and possibly before the summer break. He 48 said this is a tool at their disposal, which should be pursued, especially given the expected 49 continued growth in Orange County in the coming years. 12 1 Chair Coffey asked if Commissioner Jacobs would like for both school boards to pass a 2 resolution. She said the OCS BOE has discussed this recently, and it may be in favor of 3 making this request. 4 Steve Halkiotis asked if a history of collections and appropriations for the last 10 years 5 could be provided. 6 Chair McKee asked staff to pull this information together and send it to both school 7 boards. 8 Chair McKee thanked the schools for their efforts. 9 10 A motion was made by Commissioner Rich, seconded by Commissioner Price to 11 adjourn the meeting at 9:20 p.m. 12 13 VOTE: UNANIMOUS 14 15 16 Donna Baker, Clerk to the Board 17 18 19 Earl McKee, Chair 20 21 22 23 24