STATE OF NORTH CAROLINA )                    OFFICE OF THE COMMISSIONERS

                                                            )                    STOKES COUNTY GOVERNMENT

COUNTY OF STOKES                   )                    DANBURY, NORTH CAROLINA

                                                            )                    JUNE 24, 2009

 

           

            The Board of Commissioners of the County of Stokes, State of North Carolina, met

 

for a recessed Budget Work Session (recessed from the June 23rd work session) in the third floor

 

Conference Room of the Ronald Wilson Reagan Memorial Building (Administrative Building)

 

located in Danbury, North Carolina on Wednesday, June 24, 2009 at 9:00 am with the following

 

members present:

 

                                                Chairman J. Leon Inman

                                                Vice-Chairman Jimmy Walker

Commissioner Ron Carroll                                         

Commissioner Ernest Lankford

Commissioner Stanley Smith

                                                                                                                                   

                                                County Personnel in Attendance:

                                                County Manager K. Bryan Steen

                                                Clerk to the Board Darlene Bullins

                                                Finance Director Julia Edwards

                                                                                                                                                           

            Chairman J. Leon Inman called the meeting to order and delivered the invocation.

 

GENERAL GOVERNMENT-GOVERNING BODY-PLEDGE OF ALLEGIANCE

 

            Chairman Inman opened the meeting by inviting the citizens in attendance to join the

 

Board with the Pledge of Allegiance. 

 

Budget Work Session (continuation)

 

            Vice Chairman Walker suggested outlining items in Option #4 to further discuss.  

 

The Board listed the following items in Option #4 for further discussion.

 

Ø $300,000 – Budgeting Fund Balance

Ø $1,453,160 – Budgeting Hold Harmless for (non-recurring items)

o   $1 million – Schools-Dedicated Fund Account

o   $300,000 –  Schools – Capital Outlay

o   $153,160 –  Equipment

o   Balance of Hold Harmless to be appropriated to Fund Balance

 

Commissioner Carroll stated he had no issues with budgeting the following out of Hold

 

Harmless (if received): $100,000 for paving and $50,000 for YVEDDI facility with the

 

stipulation that the Hold Harmless be spent in the following order:

 

Ø  $300,000 -  Schools - Capital Outlay Match (Schools can match any amount up to $300,000 to receive the funding)

Ø  $1 million - Dedicated School Fund

Ø  $153,160 - Equipment

Ø  $250,000 –  Un-appropriated – To be placed in Fund Balance

Ø  $100,000 – Paving

Ø  $50,000 – YVEDDI

Ø  Remainder – Fund Balance – Estimate $140,000

Commissioner Carroll reiterated that the Hold Harmless must be spent in the exact order

 

as stated above with wording to that effect placed in the Budget Ordinance.

 

            Finance Director Julia Edwards noted that the Hold Harmless is usually deposited  

 

around the 11th of August.

 

Manager Steen noted that the State has been discussing the effect on an employee’s

 

retirement benefits if they are retiring this year or within the next few years if they are required

 

to take furlough days.

 

Vice Chairman Walker noted he would have concerns funding the full salary and fringes

 

for the Arts Council Director if the Sheriff Department’s Detective position is not funded.

 

Commissioner Carroll suggested possibly changing the job title to something like

 

Director of the Arts.  Vice Chairman Walker agreed the title should be changed.

 

The Board listed the following items of differences for further discussion:

 

Ø  Furlough Days (0-12 days)

Ø  Detective position

Ø  Solid Waste – Closing Greenbox Sites one day a week

Ø  Pay 100% of salary and fringe for the Arts Council Director

Ø  Mental Health Coordinator

Ø  King Senior Center

Ø  Schools – Current Expense

Ø  Salary Schedule Longevity/bonuses

Ø  Hold Harmless Contingencies

Ø  Increased Health Fees

Ø  Using current contingency to pay Stokes Reynolds $300,000

 

The Board discussed the differences listed above.

 

Finance Director Julia Edwards noted that NCACC still feels Hold Harmless will

 

increase due to the decrease in sales tax (Article #44)

 

The Board further discussed the Item 5 in Option  #4:

 

5.     Revise Debt Service and Schools’ Capital Outlay

a.       Decrease General Fund appropriation to Debt Service                               $58,275

b.      Increase Transfer from School Capital Outlay for Debt Services               $58,275

c.       Increase appropriation from School Capital Fund Balance to                     $58,275

Schools’ Capital Outlay

 

Furlough Days

The Board agreed that they do not want county employees to have to take any furlough

 

days unless revenues do not materialize. 

 

Increased Health Fees

Commissioner Carroll noted that the increased Health Fees (estimated increase to be

 

 $25,000) were included in Option #2 which was recommended by the Manager and included in

 

Option #4.  Commissioner Carroll noted that if the Health Fees were taken out of the budget, 

 

revenues would have to be adjusted.

 

            Commissioner Lankford noted he would not vote for a budget that included the Board of

 

Health’s fee recommendations  (Well fees = $250, Septic Fees = IP Cost be $150 and $125 for

 

Construction Authorization), he agreed with Well Fees at $150 and Septic Fees at $250.00.

           

            Commissioner Lankford reiterated his disagreement with taking current contingency to

 

fund Stokes Reynolds instead of contingency reverting back to Fund Balance.

           

 

            Commissioner Smith suggested the following option:

 

·         Start with Option #4 (using Option #2 as the basis)

·         Eliminate the Detective position

·         Reduce Schools’ Current Expense by $29,000 – fund at the same level as last year

·         Add $50,000 for YVEDDI Facility if Hold Harmless is received

·         Add $100,000 for Paving if Hold Harmless is received

 

Chairman Inman expressed concerns with funding $50,000 for YVEDDI and $100,000

 

for paving.  Chairman Inman reiterated the fact that YVEDDI purchased the property before

 

requesting any funding from any County and would not agree to allocate funding for a YVEDDI

 

facility before allocating funding for needed county projects “paving”.

 

            The Board further discussed Option #4 with the stipulations suggested by Commissioner

 

Carroll.

 

            Vice Chairman Walker moved to approve Option #4 with the following changes:

 

·         Change 3J - Hold Harmless to $1,603,160

·         Change 4F - $161,323

·         Change 4H - Make the $169,677 –one- time bonus instead of using for Salary Schedule

·         Add 4L - Paving - $100,000

·         Add 4M - YVEDDI - $50,000

·         Collection Rate at 95.5%

·         Tax Rate @$.60

 

Chairman Inman seconded the motion.

 

Commissioner Smith expressed concerns with using funding for bonuses instead of

 

staying with the salary schedule and would like to see 4H changed back to $141,000.

 

            Commissioner Carroll noted that he would not vote for the motion, Option #4 is a

 

compromise budget from his Option #3 as requested. 

 

            The Board further discussed the motion submitted by Vice Chairman Walker.

 

            Chairman Inman withdrew his second to the motion. 

                       

 Vice Chairman Walker moved to approve Option #4 with the following changes:

 

·         Change 3J - Hold Harmless to $1,603,160

·         Add 4L - Paving - $100,000 – Subject to Hold Harmless and spending order

·         Add 4M - YVEDDI - $50,000 – Subject to Hold Harmless and spending order

·         Collection Rate at 95.5%

·         Tax Rate @$.60

·         Total Budget $40,608,384 (approximately $1.3 million less than last year’s budget)

 

Commissioner Smith seconded the motion.

 

Commissioner Lankford expressed concerns with the motion on floor:

 

·         Using $556,000 from Fiscal Year 2008-09 Contingency (Item2)

·         Using $1,453,160 Hold Harmless (3J)

·         Increasing Health Fees

·         Possibility of having to use Fund Balance

·         Proposed budget is not being conservative

·         Very concerned about keeping the fund balance growing

 

Vice Chairman Walker stated that he felt this budget would serve the people of Stokes

 

County well.

 

Chairman Inman called the question.

 

The motion carried (4-1) with Commissioner Lankford voting against the motion.

 

Fire Service District

 

            Chairman Inman opened the floor for discussion regarding the proposed Fire Service

 

District.

 

            Commissioner Carroll noted the need to add back the $4,420 (Sauratown -$1,436 and

 

Double Creek $2,984) previously discussed and add a contingency line item for the Fire

 

Commission of $12,000 for unexpected emergencies and increase the Fund Balance

 

appropriated to $48,307.

 

            The Board discussed adding a contingency line item of $12,000 for the Fire Commission.

 

 

            Finance Director Edwards noted that the Fire Commission would have to request to

 

transfer the funding through a budget amendment.

 

            Finance Director Edwards noted that the Fire Commission used a 94.0% collection rate

 

instead of the 95.5%

 

            The Board unanimously agreed to continue discussion for the Fire Service District,

 

King Fire District, Walnut Cove Fire District, and Rural Hall Fire District at the next Budget

 

Work Session.

 

The Board unanimously agreed to recess today’s Budget Work Session until Monday,

 

June 29th at 2:00 pm.

 

 

Adjournment

 

There being no further business to come before the Board, Chairman Inman recessed

 

the Budget Work Session until Monday, June 29th at 2:00 pm.

 

 

 

 

 

 

 

________________________                                  _____________________________

Darlene M. Bullins                                                    J. Leon Inman

Clerk to the Board                                                    Chairman