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HomeMy WebLinkAboutOctober_20_2009_Regular_MinutesIREDELL COUNTY BOARD OF COMMISSIONERS REGULAR MINUTES OCTOBER 20, 2009 The Iredell County Board of Commissioners met in Regular Session on Tuesday, October 20, 2009, at 7:00 P.M., in the Iredell County Government Center (Commissioners' Meeting Room), 200 South Center Street, Statesville, NC. Board Members Present Chairman Godfrey Williams Vice Chairman Marvin Norman Steve Johnson Scott Keadle Absent: Ken Robertson Staff present: County Manager Joel Mashburn, County Attorney Bill Pope, Finance Director Susan Blumenstein, Planning & Development Director Ron Smith, Deputy County Manager Tracy Jackson, Social Services Income Maintenance Supervisor Lynn Deal, Grants and Safety Coordinator Steve Warren, Fire Marshal Ronny Thompson, Health Director Donna Campbell, and Clerk to the Board Jean Moore. CALL TO ORDER by Chairman Williams INVOCATION by Commissioner Johnson RECOGNITION OF GUEST: David Nicholson, an Outreach Associate with the North Carolina Association of County Commissioners, was in attendance. PLEDGE OF ALLEGIANCE ADJUSTMENTS OF THE AGENDA: MOTION by Commissioner Norman to approve the agenda adjustments as follows: Additions: *Request for Approval of a Resolution, as Required by the NC Department of Transportation, Pertaining to New City of Statesville Signage *Request from the Health Department for Approval to Apply/Accept $3,958.40 in Funding for Implementation of the N.C. Smoke -Free Restaurant and Bar Law Deletion: • Request for Approval/Signature on a Three -Year Contract with Tarheel Monitoring II, LLC To Monitor/Track Inmates Awaiting Trial VOTING: Ayes — 4; Nays — 0. APPOINTMENT BEFORE THE BOARD Council on Aging Executive Director Anna Rice Presents a Request to Accept Americans Recovery & Reinvestment Act (ARRA) Funds for Use in the Elderly Nutrition Program: Mrs. Rice said notification was received in September that ARRA funds were available; however, the money had to be used in the congregate and home delivered meal program. MOTION by Commissioner Keadle to approve the request to accept the funding. VOTING: Ayes — 4; Nays — 0. A copy of the funding proposal is attached. Note: No county money will be needed for the grant funds. The money already allocated for FY 10, plus United Way funding for this year will cover the "matching" funds requirement. PUBLIC HEARINGS Chairman Williams declared the meeting to be in a public hearing. Consideration of an Installment Financing Agreement for Expansion of the Union Grove Elementary School: The Chairman announced that this was the hour and day fixed by the Board of Commissioners for the public hearing upon the proposed financing, pursuant to an installment financing agreement, to be dated as of December 1, 2009 or such other date as the parties thereto shall mutually agree upon (the "Installment Financing Agreement'), between the County of Iredell, North Carolina (the "County") and Iredell County Public Facilities Corporation, a North Carolina non-profit corporation (the "Corporation"), of the expansion of Union Grove Elementary School, including the construction and equipping of additional classrooms, a computer room, an art room, resource rooms, and teacher centers, demolition of existing structures, sewer upgrades and related site work (the "Project'), and that the Board of Commissioners would hear anyone who wished to be heard with respect to the Installment Financing Agreement. As a matter of information, the Director of Finance of the County described the nature of the Project, including the estimated cost thereof ($5,200,000), and the installment payments to be made by the County under the Installment Financing Agreement for such purposes. She continued by saying the Iredell-Statesville Schools were allocated Qualified School Construction Bonds (QSCBs) authority of $4.9 million, and the money was originally intended to be interest free. Blumenstein said now, however, there appeared to be only one national buyer (Guggenheim) showing any interest. She said with no market demand, Guggenheim would insert supplemental interest of two to three percent, plus closing costs would be significantly higher. Mrs. Blumenstein said the school system wanted to use the bonds to build a new building at Union Grove Elementary, and a comparative analysis with a regular direct placement bank qualified loan (installment financing agreement) revealed there would be about a $580,000 net present value savings with QSCBs even with the supplemental interest. Blumenstein said the Department of Public Instruction recently issued a memo indicating that counties would be able to carry over the FY 09 QSCB allocation to FY 10 since most school systems and counties were having a difficult time in locating bond buyers. She said local, as well as national banks, were not interested due to the nonexistent profit level. Mrs. Blumenstein said it was her understanding the school officials, at this point in time, desired to roll over the 2009 allocation in anticipation that more QSCB funds would become available next year, and the Cool Springs project could start. She said, however, the school representatives had asked for the commissioners to allow the Union Grove project to proceed with the county entering into an installment financing agreement with a bank as a direct placement bank qualified loan. Blumenstein said the school officials felt that with a 15 -year amortization there would be funds available to pay the debt out of the existing revenue stream. Blumenstein said she had not bid the financing, but in discussions with several banks, a 4.0 to 4.28 interest rate was given. She said her numbers had been calculated at 4.25 which made a maximum annual debt service payment at $529,052 which was within the $600,000 that Iredell-Statesville said it could afford. Continuing, Blumenstein said the decision for the commissioners would be to determine whether or not to issue QSCBs or to move forward with a direct placement and roll over the QSCBs to next fiscal year. No one appeared, either in person or by attorney, to be heard with respect to the Installment Financing Agreement except for the following: 2 Dr. Kenny Miller, an employee with the Iredell-Statesville School System, and a resident of Iredell County, said a main concern was whether or not the bonds would sell due to economic conditions. He said that by rolling the bonds into the next year, the system still had the authority to use them. Miller said the Cool Springs project would be larger than Union Grove, and a larger savings might be realized. He said a direct placement of $4.9 million could be handled with existing revenues; however, the Cool Springs project could not be handled with a direct placement. Miller said, "For us, this is a much cleaner and acceptable form of financing. It will let us start the project on time. We will enter into contracts with local vendors or construction companies, and this will enable us to get money flowing back into the economy more quickly." He said that if the QSCBs did not sell, it could be next summer or fall before any funding might be available, and then, the school system would have to return to the commissioners with a direct placement option. Miller said the school officials thought it would be better to roll over the QSCBs, let the economy improve, and then make a decision. Commissioner Johnson said he understood the QSCB could be done on Union Grove, but the bonds were currently difficult to sell. Miller said this was correct. Commissioner Johnson said the state had pushed back the QSCB deadline because of market conditions. Miller said this was correct. Commissioner Johnson said the school officials wanted to utilize the direct placement method on Union Grove now, and use QSCBs for Cool Springs next year if the market allowed. He asked how the debt would be serviced on Cool Springs. Miller said Cool Springs could not be handled next year if a direct placement occurred. He said that if zero percent bonds were available, then there would be a better opportunity; however, there was no guarantee the Cool Springs project could occur with or without QSCBs. Dr. Miller said that if the economy or sales tax revenues did not improve, then the Cool Springs project could be "pushed out further." Johnson said the trade off, assuming the QSCBs were done on Union Grove, was that there could be a savings of $580,000.00, but if the direct placement loan didn't occur now, it might be next year and only one of the projects might be accomplished. Miller said this was correct. No one else desired to speak, and Chairman Williams declared the public hearing closed. Commissioner Johnson directed a question to Mrs. Blumenstein. He asked, "If we did the QSCB today, the pot will have to be sweetened to the tune of two or three percent to get someone to buy the bonds. Is this correct?" Blumenstein said this was correct, plus the closing costs would be twice what would occur for direct placement loans. She said too, there were strict reporting requirements for the construction contractors because anything financed with ARRA, or as a result of ARRA, fell under the Davis -Bacon Act for employment. Johnson said this related to Dr. Miller's comments on having more latitude with the contractors and so forth. Miller said that due to the extra requirements, the bids would probably be higher. Chairman Williams asked if QSCBs could be used on Cool Springs next year, assuming they were extended, if they were used on Union Grove. Blumenstein said no. 3 Miller said the school system had authority for $4.9 million in QSCBs, and next year, the school system would be asked if there was still interest in this type of financing. He said at that time, Iredell-Statesville would return to the commissioners advising of the "authority" to get an amount of money. Dr. Miller said at this point in time, the state was allowing the roll over of the QSCBs, and this would enable the system to combine the two projects and come close by using other funding sources allotted for Cool Springs. He said the issue would be debt service, and whether or not the economy improved. Miller said too, the QSCBs still might not sell due to the economy at that time. He said the school system was looking at the option to move forward with the Union Grove project, and this would cost a little more, but this could be handled with the current debt service stream. Miller said, "It is well within our budget, and we think that what savings we would have is going to be eaten up with the Davis -Bacon Act, the associated bidding increases, the closing costs, and other factors, plus the project would have to be pushed out further and further. And, the further you push the project out the more likelihood that the economy perks back up, and then the bids go up." Johnson said that if the $4.9 were pushed into next year, he understood the Cool Springs project was significantly more than this amount, and the school system was hoping that more QSCBs would be available to be combined with the $4.9. Miller said this was correct. Johnson asked how the Cool Springs project was designed. Rob Jackson, an employee with the Iredell-Statesville School System, and a resident of Iredell County, said the building was designed to go as one project. He said it was two-story, multi-level facility that tied into the existing building with a total budget of $12.8 million. Chairman Williams asked if Cool Springs had enrollment growth this year. Jackson said that due to the kindergarten age ruling, it didn't grow; however, it already contained the maximum number students at about 440 to 450, plus this was the limit for the septic system. Chair Williams said it wasn't so much a matter of overcrowding as it was with an old building and a compromised septic system. The Clerk to the Board of Commissioners announced that no written statement relating to said matter had been received. All of the foregoing statements were duly considered by the Board of Commissioners. Thereupon the Chairman introduced the following resolution, a copy of which had been provided to each Commissioner, which was read by title and summarized by the Director of Finance: RESOLUTION MAKING CERTAIN FINDINGS RELATING TO THE FINANCING OF CERTAIN SCHOOL FACILITIES PURSUANT TO AN INSTALLMENT FINANCING AGREEMENT AND AUTHORIZING THE DIRECTOR OF FINANCE TO FILE APPLICATION FOR APPROVAL THEREOF BY THE LOCAL GOVERNMENT COMMISSION BE IT RESOLVED by the Board of Commissioners for the County of Iredell, North Carolina (the "County"): Section 1. The Board of Commissioners does hereby find, determine and declare as follows: (a) The County proposes to finance the expansion of Union Grove Elementary School, including the construction and equipping of additional classrooms, a computer room, an art room, resource rooms, and teacher centers, demolition of existing structures, sewer upgrades and related site work (the "Project"), pursuant to an installment financing agreement (which may be in the form of a supplement to an existing installment financing agreement), to be dated as of December 1, 2009 or such other date as the parties thereto shall mutually agree upon (the "Installment Financing Agreement"), between the County and Iredell County Public Facilities Corporation (the "Corporation") and the County will make Installment Payments (as defined in 4 the Installment Financing Agreement) in amounts sufficient to pay the principal and interest with respect to the Certificates of Participation (Iredell County School Projects), Series 2008 (the "2009 Certificates") to be executed and delivered by the Corporation to finance the Project, it being the express intention of the Board of Commissioners that only the principal amount of 2009 Certificates necessary to accomplish the purposes stated in the Installment Financing Agreement will be executed and delivered (estimated not to exceed $5,200,000). (b) The Project is necessary in order to provide public school facilities essential to the public health, safety and welfare of the citizens of the County. (c) Based on advice from the County's investment bankers as to current tax-exempt interest rates, the sums to fall due under the Installment Financing Agreement are not excessive for its stated purposes; moreover, the estimated cost of the Project is not excessive. (d) Counsel to the County has rendered an opinion that the proposed undertakings are authorized by law and are purposes for which public funds may be expended pursuant to the Constitution and laws of the State of North Carolina. (e) The Installment Financing Agreement, under the circumstances presently obtaining, is preferable to a general obligation bond issue for this purpose. The County's current fund balance is, in light of other requirements and prudent fiscal management, insufficient to fund the entire cost of the Project, the County does not have the ability to issue sufficient non - voted bonds under the provisions of Article V, Sec. 4 of the North Carolina Constitution for the purposes of financing the Project, and voting general obligation bonds for this purpose will result in unacceptable delay and additional cost to the County. (f) The estimated cost of financing the Project pursuant to the Installment Financing Agreement compares reasonably and favorably with an estimate of similar cost for general obligation bond financing therefor. The primary difference in cost results from higher issuance costs, but this amount is insignificant when compared to the total cost of financing the Project. (g) The debt management policies of the County have been carried out in strict compliance with law, including the filing of all required audits and reports with the Local Government Commission (the "LGC"), and the County is within its statutory debt limit and is not in default with respect to any of its outstanding indebtedness. (h) The County estimates that no increase in the property tax rate will be required to raise sums to pay the estimated debt service to fall due under the Installment Financing Agreement for all of its stated purposes. (i) The County has made timely payment of all sums owed by it with respect to the payment of principal of and interest on all of its outstanding debt obligations and has received no notice from the LGC or any holder concerning the County's failure to make any required payment of debt service. 0) The County's repayment obligations under the Installment Financing Agreement may be comprised of, in whole or in part, of qualified Build America Bonds under Section 54AA of the Internal Revenue Code of 1986, as amended (the "Code"). (k) The County has been advised that the Iredell-Statesville Board of Education (the "Board") has been granted an allocation of qualified school construction bonds under Section 54F of the Code (the "Qualified School Construction Bond Allocation") for calendar year 2009 in the amount of $4,906,269.93. The County will consider providing for its obligations under the Installment Financing Agreement to be in the form of qualified school construction bonds under Section 54F of the Code in an amount not to exceed the Qualified School Construction Bond Allocation in the event that the Board allocates the Qualified School Construction Bond Allocation to the County for the purpose of financing the Project, and the County determines that issuance of qualified school construction bonds is cost effective. Section 2. The LGC is hereby requested to approve the proposed Installment Financing Agreement pursuant to the provisions of Article 8 of Chapter 159 of the General Statutes of North Carolina, and the Director of Finance of the County is directed to complete and file all applications and execute all documents required in connection with obtaining such approval. Section 3. The LGC is hereby requested to approve the selection of the following professionals who comprise the financing team, and such other professionals as may be required or useful and acceptable to the LGC, to assist the County in connection with such financing: Special Counsel Sidley Austin LLP Financial Advisor First Southwest Company Trustee US Bank National Association Corporation Counsel Pressiy, Thomas & Conley, P.A. Section 4. All actions heretofore taken by the County Manager and the Director of Finance in connection with the Installment Financing Agreement and the 2008 Certificates, 5 including retaining Special Counsel and selecting a financial advisor and a trustee, are hereby ratified and confirmed. Section 5. This resolution shall take effect immediately upon its passage. Upon motio of Commissioner Johnson, the foregoing resolution entitled "RESOLUTION MAKING CERTAIN FINDINGS RELATING TO THE FINANCING OF CERTAIN SCHOOL FACILITIES PURSUANT TO AN INSTALLMENT FINANCING AGREEMENT AND AUTHORIZING THE DIRECTOR OF FINANCE TO FILE APPLICATION FOR APPROVAL THEREOF BY THE LOCAL GOVERNMENT COMMISSION" was passed by the following vote: Ayes: Commissioners Williams, Norman, Johnson and Keadle. Noes: 0. CONSENT AGENDA MOTIO by Commissioner Johnson to approve the following 15 consent agenda items. VOTING: Ayes — 4; Nays — 0. 1. Request for Adoption of the Iredell County Identify Theft Red Flags Policy: Finance Director Susan Blumenstein said the Federal Trade Commission required that an Identify Theft Prevention Program be implemented by November 1, 2009. Blumenstein said she would provide the oversight responsibility for the program. A copy of the policy is as follows: IDENTITY THEFT RED FLAGS POLICY I. PROGRAM ADOPTION Iredell County's Identity Theft Prevention Program ("Program") was developed to comply with the Federal Trade Commission's Red Flags Rule ("Rule"), which implements Section 114 of the Fair and Accurate Credit Transactions Act of 2003, codified in 16 C. E R. § 681.2. As required by the rules, the Program was developed with oversight and approval of the Board of County Commissioners. IL PROGRAM PURPOSE AND DEFINITIONS A. Fulfilling requirements of the Red Flags Rule Under the Red Flag Rule, every financial institution and creditor is required to establish an "Identity Theft Prevention Program" tailored to its size, complexity and the nature of its operation. Each program must contain reasonable policies and procedures to: 1. Identify relevant Red Flags for new and existing covered accounts and incorporate those Red Flags into the Program; 2. Detect Red Flags that have been incorporated into the Program; 3. Respond appropriately to any Red Flags that are detected to prevent and mitigate Identity Theft; and 4. Ensure the Program is updated periodically, to reflect changes in risks to customers or to the safety and soundness of the creditor from Identity Theft. B. Red Flags Rule definitions used in this Program "Covered Account" means any account the County offers or maintains primarily for personal, family or household purposes, that involves multiple payments or transactions; and any other account the County offers or maintains for which there is a reasonably foreseeable risk to customers or to the safety and soundness of the County from Identity Theft. Iredell County Emergency Medical Services, Inspections Department, and Solid Waste Disposal Facility accounts are covered, or possibly could be covered, by the Rule. Accounts of the Health Department are included under the Health Department Identify Theft Red Flags Policy approved by the Iredell County Board of Health. If other County accounts are determined to be covered, they will be included under this policy as well. 6 "Identity Theft" means fraud committed using the identifying information of another person and a "Red Flag" as a pattern, practice, or specific activity that indicates the possible existence of Identity Theft. "Identifying information" means any name or number that may be used, alone or in conjunction with any other information, to identify a specific person, including: name, address, telephone number, social security number, date of birth, government issued driver's license or identification number, alien registration number, government passport number, employer or taxpayer identification number, unique electronic identification number, computer's Internet Protocol address, or routing code. III. IDENTIFICATION OF RED FLAGS. In order to identify relevant Red Flags, the County considers the types of accounts that it offers and maintains, the methods it provides to open its accounts, the methods it provides to access its accounts, and its previous experiences with Identity Theft. The County identifies the following red flags, in each of the listed categories: A. Notifications and Warnings From Credit Reporting Agencies 1. Report of fraud accompanying a credit report; 2. Notice or report from a credit agency of a credit freeze on a customer or applicant; 3. Notice or report from a credit agency or an active duty alert for an applicant; and 4. Indication from a credit report of activity that is inconsistent with a customer's usual pattern or activity. Any other account the County offers or maintains for which there is a reasonably foreseeable risk to customers or to the safety and soundness of the County from Identity Theft. B. Suspicious Documents 1. Identification document or card that appears to be forged, altered or inauthentic; 2. Identification document or card on which a person's photograph or physical description is not consistent with the person presenting the document; 3. Other document with information that is not consistent with existing customer information (such as if a person's signature on a check appears forged); and 4. An application that appears to have been altered or forged. C. Suspicious Personal Identifying Information 1. Identifying information presented that is inconsistent with other information the customer provides (example: inconsistent birth dates); 2. Identifying information presented that is inconsistent with other sources of information (for instance, an address not matching an address on a credit report); 3. Identifying information presented that is the same as information shown on other applications that were found to be fraudulent; 4. Identifying information presented that is consistent with fraudulent activity (such as an invalid phone number or fictitious billing address); 5. Social security number presented that is the same as one given by another customer; 6. An address or phone number presented that is the same as that of another person; 7. A person fails to provide complete personal identifying information on an application when reminded to do so (however, by law social security numbers must not be required); and S. A person's identifying information is not consistent with the information that is on file for the customer. D. Suspicious Account Activity or Unusual Use of Account 1. Change of address for an account followed by a request to change the account holder's name; 2. Payments stop on an otherwise consistently up-to-date account; 3. Account used in a way that is not consistent with prior use; 4. Mail sent to the account holder is repeatedly returned as undeliverable; 5. Notice to the County that a customer is not receiving mail sent by the County; 6. Notice to the County that an account has unauthorized activity; 7. Breach in the County's computer system security; and S. Unauthorized access to or use of customer account information. E. Alerts from Others Notice to the County from a customer, identity theft victim, law enforcement or other person that it has opened or is maintaining a fraudulent account for a person engaged in Identity Theft. 7 IV. DETECTING RED FLAGS. A. New Accounts In order to detect any of the Red Flags identified above associated with the opening of a new account, County personnel will take the following steps to obtain and verify the identity of the person opening the account: 1. Require certain identifying information such as name, date of birth, residential or business address, principal place of business for an entity, driver's license or other photo ID; 2. Verify the customer's identity (for instance, review a driver's license or other identification card); 3. Review documentation showing the existence of a business entity; and 4. Independently contact the customer. B. Existing Accounts In order to detect any of the Red Flags identified above for an existing account, County personnel will take the following steps to monitor transactions with an account: 1. Verify the identification of customers if they request information; 2. Verify the validity of requests to change billing addresses; and 3. Verify changes in banking information given for billing and payment purposes. V. PREVENTING AND MITIGATING IDENTITY THEFT In the event County personnel detect any identified Red Flags, such personnel shall take one or more of the following steps, depending on the degree of risk posed by the Red Flag; as well as taking into account confidentiality laws related to certain information. A. Prevent and Mitigate 1. Continue to monitor an account for evidence of Identity Theft; 2. Contact the customer; 3. Change any passwords or other security devices that permit access to accounts; 4. Not open a new account; 5. Close an existing account; 6. Reopen an account with a new number; 7. Notify the Finance Director for determination of the appropriate step(s) to take; 8. Notify law enforcement; or 9. Determine that no response is warranted under the particular circumstances. B. Protect customer identifying information In order to further prevent the likelihood of identity theft occurring with respect to County accounts, the County will take the following steps with respect to its internal operating procedures to protect customer identifying information: 1. Ensure that its website is secure or provide clear notice that the website is not secure; 2. Ensure complete and secure destruction of paper documents and computer files containing customer information; 3. Ensure that office computers are password protected and that computer screens lock after a set period of time; 4. Keep offices clear of papers containing customer information; 5. Request only the last 4 digits of social security numbers if any are requested; 6. Ensure computer virus protection is up to date; and 7. Require and keep only the kinds of customer information as is necessary for the purpose of the account. VI. PROGRAM UPDATES At least annually, the Finance Director will consider the County's experiences with the Program and shall determine whether changes to the Program are warranted. If such determination is made, the Finance Director will update the Program or present the Board of County Commissioners with his or her recommended changes and the Board of County Commissioners will make a determination of whether to accept, modify or reject those changes to the Program. VIL PROGRAM ADMINISTRATION. 9 A. Oversight Responsibility for overseeing the program lies with the County Finance Director appointed by the County Manager. The Finance Director will be responsible for the Program administration, for ensuring appropriate training of County staff on the Program, for reviewing any staff reports regarding the detection of Red Flags. In addition, responsibility for implementing this Program within the various applicable departments of Iredell County resides with the department manager of the Iredell County departments covered by this Policy or such manager's designee. Such individuals shall receive training from the County Finance Director concerning the implementation of the Policy. On at least a yearly basis, the Finance Director and a representative from each Iredell County department that falls under this policy shall have a meeting to discuss the program and its implementation. B. Staff Training and Reports County staff responsible for implementing the Program shall be trained either by or under the direction of the Finance Director in the detection of Red Flags, and the responsive steps to be taken when a Red Flag is detected. C. Service Provider Arrangements In the event the County engages a service provider to perform an activity in connection with one or more accounts, the County will take the following steps to ensure the service provider performs its activity in accordance with reasonable policies and procedures designed to detect, prevent, and mitigate the risk of Identity Theft. 1. Require, by contract, that service providers have such policies and procedures in place; and 2. Require, by contract, that service providers review the County's Program and report any Red Flags to the Finance Director. D. Specific Program Elements and Confidentiality For the effectiveness of Identity Theft prevention Programs, the Red Flag Rule envisions a degree of confidentiality regarding the County's specific practices relating to Identity Theft detection, prevention and mitigation. Therefore, under this Program, knowledge of such specific practices is to be limited to the Finance Director and those employees who need to know them for purposes of preventing Identity Theft. This Program is to be adopted by a public body and thus publicly available; therefore, it would be counterproductive to list these specific practices here. As such, only the Program's general red flag detection, implementation and prevention practices are listed in this document. 2. Request for Approval of a Resolution Calling for a Public Hearing on November 3, 2009 at 7:00 P.M. Regarding a Financing for Mitchell Community College's Mooresville Campus Classroom Building: Finance Director Susan Blumenstein said the college's vice president had notified her that plans were complete for the new Mooresville campus building, and they would let bids this week. She said financing for the $2,785,000 facility was approved by the board on December 16, 2008, and a public hearing was now required. Blumenstein said the bond counsel had prepared a resolution; however, since the board had determined to delay QSCBs for the Iredell-Statesville School System's Union Grove project the most cost efficient method would be to combine the two projects and seek one installment agreement to save on closing costs. Commissioner Johnson mentioned that the college had already presented the initial plan. Blumenstein said this was correct, but the total cost of the facility would be approximately $5.3 million. She said about $900,000 was used for the land, and this was included in the General Obligation Bond ($6 million total for college projects). Mrs. Blumenstein said the college had some funds that could be directed towards the Mooresville building, and the county had funds in the fund balance. She said that in December 2008, the board considered $2.8 million when Dr. Eason presented the proposal. Johnson asked if the debt could be satisfied with the existing revenue stream. 9 Blumenstein said yes. She said, typically, the board had designated the amount equal to one-half cent on the property tax rate (not the amount restricted), and it was already budgeted in reserve. Chairman Williams introduced the following resolution, a copy of which was provided to each Commissioner, and was read by title and summarized by the Director of Finance: RESOLUTION CALLING A PUBLIC HEARING CONCERNING THE FINANCING OF CERTAIN COMMUNITY COLLEGE FACILITIES PURSUANT TO AN INSTALLMENT FINANCING AGREEMENT WHEREAS, the Board of Commissioners for the County of Iredell, North Carolina (the "County") is considering the financing of a new building for Mitchell Community College at its Mooresville campus, including the construction and equipping of seventeen general classrooms and one multi -use classroom (the "Project") pursuant to an Installment Financing Agreement, to be dated as of December 1, 2009 or such other date as the parties thereto shall mutually agree upon (the "Installment Financing Agreement"), between the County and a financial institution; and WHEREAS, pursuant to the Installment Financing Agreement, a financial institution will finance the Project, and the County will make Installment Payments (as defined in the Installment Financing Agreement) for the purpose of financing the Project, it being the express intention of the Board of Commissioners that the amount advanced under the Installment Financing Agreement will only be the amount necessary to accomplish the purposes stated in the Installment Financing Agreement (estimated not to exceed 53,000,000); and the County's obligations under the Installment Financing Agreement will be secured by, among other things, a deed of trust on certain real property, including the site of the Project and the improvements thereon; and WHEREAS, the Installment Financing Agreement, if entered into, will comply in all respects with Section 160A-20 and Chapter 159, Article 8, of the General Statutes of North Carolina and the guidelines of the Local Government Commission of North Carolina for all financings undertaken pursuant to said Section and Article; and WHEREAS, said Section 160A-20 requires that, before entering into an installment financing agreement involving real property, the County shall hold a public hearing on such agreement; now, therefore, BE IT RESOLVED by the Board of Commissioners for the County of Iredell: Section 1. A public hearing with respect to the Installment Financing Agreement is hereby directed to be held on Tuesday, November 3, 2009, at 7:00 P.M., in the Commissioners' Meeting Room at the Iredell County Government Center, 200 South Center Street, Statesville, North Carolina. Section 2. The Clerk to the Board of Commissioners is hereby directed to publish notice of said public hearing, in substantially the following form, once at least ten (10) days prior to the date of the public hearing as required by Section 160A -20(g) of the General Statutes of North Carolina: NOTICE OF PUBLIC HEARING BY THE BOARD OF COMMISSIONERS FOR THE COUNTY OF IREDELL, NORTH CAROLINA, CONCERNING THE FINANCING OF CERTAIN COMMUNITY COLLEGE FACILITIES PURSUANT TO AN INSTALLMENT FINANCING AGREEMENT NOTICE IS HEREBY GIVEN to all interested persons that the Board of Commissioners for the County of Iredell, North Carolina (the "County") is considering the financing of a new building for Mitchell Community College at its Mooresville campus, including the construction and equipping of seventeen general classrooms, and one multi -use classroom, pursuant to an Installment Financing Agreement, to be entered into between the County and a financial institution. The principal amount of the indebtedness to be incurred in connection with such financing is not expected to exceed $3,000,000. NOTICE IS HEREBY FURTHER GIVEN that the Board of Commissioners will hold a public hearing in the Commissioners' Meeting Room at the Iredell County Government Center, 200 South Center Street, Statesville, North Carolina, on November 3, 2009, at 7:00 P.M., or an adjournment thereof, at which time any person may be heard regarding the proposed Installment Financing Agreement. Further information may be requested from Susan G. Blumenstein, Director of Finance of the County, at the above-mentioned address or by calling (704) 878-3040. COUNTY OF IREDELL, NORTH CAROLINA By: Jean C. Moore Clerk to the Board of Commissioners Section 3. This resolution shall take effect immediately upon its passage 10 3. Request from the Fire Marshal's Office for Adoption of Proposed Amendments to the Iredell County Code; Section 5-28 Relating to Fire Prevention & Protection: Fire Marshal Ronny Thompson said the North Carolina Fire Code was adopted and placed in Chapter 4 for the Building Construction Code, and it also needed to be included in Chapter 5 of the Fire Prevention Code. He said having the revisions in both documents would provide consistency. A copy of the revised section is as follows: Section 5-28; Adoption; purview This article adopts the North Carolina State Building Fire Code, NIOluffle NI, and its incorporated appendices gt....d....ds ....d ,.,.des a published in the SBGCI fire ,.,.d,.,. ,.F the A..ti,.44..1 L':«,. pat4i,.,,larl in the 2002 edition thereof, as anted it exists on the date hereof and as the same may be amended from time to time hereafter. The same are hereby adopted and incorporated as fully as if set out at length in this section. Not less than one (1) copy of the adopted issue of North Carolina State Building Fire Code, 3.1alume +J, and the adopted standards and P -0 -des of the .,,.t:,...nl a... ,.,.d.,. its incorporated appendices shall be filed in the office of the county fire marshal and the provisions thereof shall be controlling within the limits of the county, except for those portions of the county located within the incorporated limits of the City of Statesville and Town of Mooresville or in any other incorporated municipality which shall provide its own fire prevention code, or shall by resolution of its governing board withdraw such municipality from control of this article. (Ord. of 2-22-83, § 1; Ord. of 7-2-91; Ord. of 3-18-03) 4. Request for Approval of the September 2009 Refunds and Releases: County Manager Joel Mashburn said the Tax Administrator had requested approval of the refunds/releases and indicated that no board members were involved in any of the transactions. Releases for the month of September 2009 Breakdown of Releases: County $60,125.40 Solid Waste Fees $1,296.25 E. Alex. Co. Fire #1 $32.18 Shepherd's Fire #2 $744.67 Mt. Mourne Fire #3 $711.83 All County Fire #4 $2,604.95 B&F Fire #5 $287.71 Statesville City $16,255.87 Statesville Downtown $16.24 Mooresville Town $17,657.98 Mooresville Downtown $0.00 Mooresville School $3,227.61 Love Valley $26.90 Harmony $1.43 Troutman $668.53 Davidson $62.38 Refunds for the month of September 2009 Breakdown of Refunds County $986.82 Solid Waste Fees $40.50 E. Alex. Co. Fire #1 $0.00 Shepherd's Fire #2 $308.44 Mt. Mourne Fire #3 $3,663.80 All County Fire #4 $30.30 B&F Fire #5 $12.50 Statesville City $119.28 Statesville Downtown $0.00 Mooresville Town $619.08 Mooresville Downtown $0.00 Mooresville School $0.00 Love Valley $0.00 Monthly Total $103,719.93 Monthly Total $5,780.72 Harmony $0.00 Troutman $0.00 Davidson $0.00 5. Request from the Health Department for Authorization to Write -Off Uncollected Patient Accounts: Health Director Donna Campbell requested write-off approvals of uncollected patient accounts. She said the eligible accounts would be submitted to the Debt Set - Off Program for collection. WRITE-OFFS SUBPROGRAM PRIVATE PAY MEDI CAI D TOTAL Adult Health I F $359.44 $0.00 $359.44 Child Health $826.16 $0.00 $826.16 Child Service Coord. $0.00 $330.00 $330.00 Dental Health $2,074.50 $108.00 $2,182.Women'50 Services Preventive Health $3,719.70 $1,393.00 $5,112.70 Immunizations $1,835.38 $523.00 $2,358.38 Maternity Care Coord. $0.00 $240.00 $240.00 Maternal Health $5,192.30 $1,746.00 $6,938.30 Miscellaneous $180.00 $20.00 $200.00 Epidemiology $496.05 $308.00 $804.05 TOTAL $14,683.53 $4,668.00 $19,351.53 6. Request from the Health Department for Approval of a Budget Amendment to Transfer $43,150 from Contracted Services to the Salary/Fringe Expense Lines: Health Director Donna Campbell said previously the board of commissioners approved a $66,472.23 budget amendment for American Recovery & Reinvestment Act funding, and $59,150 was placed in the contracted services line item. She said now, $43,150 was needed in the salary and fringe expense lines to pay for the school vaccination initiative, and a budget transfer was needed. To re -allocate State ARRA grant expenditures from Cty BA# Purpose: Contracted Services to- to Salary and ICHD BA# 1020 Fringe EXISTING AMENDED EXPENSE LINE(S) DESCRIPTION BUDGET CHANGE BUDGET Contracted 100591 537500 41101 Services $317,990.00 $43,150.00 $274,840.00 EXISTING AMENDED EXPENSE LINE(S) DESCRIPTION BUDGET CHANGE BUDGET 105591 510002 41101 Salary -Reg $1,925,290.00 $31,680.00 $1,956,970.00 105591 510004 41101 Salary -Overtime $6,970.00 $4,720.00 $11,690.00 105591 512501 41101 FICA $148,460.00 $2,785.00 $151,245.00 105591 512502 41101 Grp Ins $324,925.00 $360.00 $325,285.00 105591 512503 41101 Retirement $191,275.00 $3,605.00 $194,880.00 7. Request from the Health Department for Approval of a Budget Amendment to Receive and Use Aid -to -County Funds of $7,000: Health Director Donna Campbell said an additional $7,000 had been received which would be used to improve the department's capacity for immunization service delivery. She said a telephone auto -dialer system costing between 12 $5,000 to $6,000 would be purchased for reminder calls. Campbell said any funds left over would be used to purchase medical grade vaccine refrigerators for the immunization rooms. To allocate State Immunization grant revenues and expenditures for Cty BA# Purpose: service deliver to- ICHD BA# 1008A EXISTING AMENDED REVENUE LINE(S) DESCRIPTION BUDGET CHANGE BUDGET 10492752 440004 4451 Tobacco Free Initiative $0.00 $3,960.00 10491715 440009 Immunization Grant -$33,085.00 -$7,000.00 -$40,085.00 AMENDED EXPENSE LINE(S) EXISTING BUDGET AMENDED EXPENSE LINE(S) DESCRIPTION BUDGET CHANGE BUDGET $1,810.00 Non -Depreciable FICA 50.00 $140.00 100591 620000 41101 Assets $5,110.00 $7,000.00 $12,110.00 8. Request from the Health Department for Approval to Apply for & Accept $3,958.40 in Funding for Implementation of the N.C. Smoke -Free Restaurant and Bar Law: Health Director Donna Campbell said that on January 2, 2010, House Bill 2, Smoke -Free Restaurants and Bars, would be in effect and local health departments were responsible for the legislation's implementation. She said originally, there was no funding; however, the NC Division of Public Health, Chronic Disease and Injury Section (Tobacco Prevention and Control Branch) was providing $3,958.40 to educate the public and to implement the law. Campbell said the environmental health employees, during furlough days, would provide education to the local restaurant/bar owners, plus beverage coasters containing information about the law would be purchased ($450) as a business incentive for the establishments. To allocate State grant revenues and Cty BA# Purpose: expenditures ICHD BA# 10-1020 EXISTING AMENDED REVENUE LINE(S) DESCRIPTION BUDGET CHANGE BUDGET 10492752 440004 4451 Tobacco Free Initiative $0.00 $3,960.00 -$3,960.00 EXISTING AMENDED EXPENSE LINE(S) DESCRIPTION BUDGET CHANGE BUDGET 10927521 510002 4451 Salary -Reg $0.00 $1,810.00 $1,810.00 10927521 512501 4451 FICA 50.00 $140.00 $140.00 10927521 512502 4451 Grp ins 50.00 $290.00 $290.00 10927521 512503 4451 Retirement $0.00 $180.00 $180.00 10927521 535018 4451 Printing $0.00 $40.00 $40.00 10927521 536200 4451 Travel $0.00 $550.00 $550.00 10927521 548000 4451 Community Awareness $0.00 $950.00 $950.00 9. Request from the Health Department for Approval of a Budget Amendment to Accept H1N1 Pandemic Flu Implementation Funds of $240,000 from the North Carolina Public Health, Office of Public Health Preparedness and Response: Health Director Donna Campbell said it was anticipated that $240,000 would be received to educate, inform and conduct H1N1 Pandemic Flu mass vaccinations. She said the department would actually receive $301,601.00, and approval to accept the additional $61,600 would be made once the funding had been received. 13 10. Request from the Health Department for Approval of a Budget Amendment to Accept $20,000 for Pandemic Flu H1N1 Planning Funds from the North Carolina Public Health, Office of Public Health Preparedness & Response: Health Director Donna Campbell said that in August of 2009, approval was obtained from the board of commissioners to accept $60,000. She said the state actually appropriated $80,000.00, and approval was now needed to accept the additional $20,000 that would be used for HIN1 planning activities. 11. Request from Social Services for Approval of Budget Amendment #19 to Recognize $46,434 in Americans Recovery & Reinvestment Act Funds: Income Maintenance Supervisor Lynn Deal, with the Social Services Department, requested permission to receive $46,434 in food and nutrition funds. She said the money would be used to provide overtime for the Food & Nutrition Services staff. 14 To allocate State grant revenues and Cty BA# Purpose: expenditures 10- ICHD BA# 1008 EXISTING AMENDED REVENUE LINE(S) DESCRIPTION BUDGET CHANGE BUDGET BT Emergency 10493514 440003 4519 Preparedness 460,000.00 420,000.00 -$80,000.00 EXISTING AMENDED EXPENSE LINE(S) DESCRIPTION BUDGET CHANGE BUDGET 10935141 510002 Salary -Regular $72,135.00 $8,925.00 $81,060.00 10935141 512501 FICA $5,555.00 $685.00 $6,240.00 10935141 512502 Group Ins $11,335.00 $25.00 $11,360.00 10935141 512503 Retirement $7,190.00 $885.00 $8,075.00 10935141 535018 Printing $14,000.00 $1,300.00 $15,300.00 105591 510002 41101 Salary -Regular $1,918,365.00 $6,925.00 $1,925,290.00 105591 512501 41101 FICA $147,930.00 $530.00 $148,460.00 105591 512502 41101 Group Ins $324,885.00 $40.00 $324,925.00 105591 512503 41101 Retirement $190,590.00 $685.00 $191,275.00 11. Request from Social Services for Approval of Budget Amendment #19 to Recognize $46,434 in Americans Recovery & Reinvestment Act Funds: Income Maintenance Supervisor Lynn Deal, with the Social Services Department, requested permission to receive $46,434 in food and nutrition funds. She said the money would be used to provide overtime for the Food & Nutrition Services staff. 14 12. Request from the Planning Department for Authorization to Develop a Unified Development Ordinance (UDO): Planning & Development Director Ron Smith said the 2030 Horizon Plan had been adopted, and the next stage of the land use planning process might be the development of a Unified Development Ordinance. Smith suggested that all of the planning and development ordinances (zoning, subdivision, watershed, flood, airport, and erosion control) be reviewed and compiled into one ordinance or book. Mr. Smith said this would be a large project, and using the current county staff, it would take about a year for completion. He presented a project schedule and recommended approval of the UDO proposal. Commissioner Johnson encouraged the staff to proceed. He said a project briefing might be helpful and suggested that this occur at the board's retreat on Friday, November 6, 2009. County Manager Mashburn said November 6 would be an opportune time for the briefing. 13. Request for Approval to Accept a $645,100 Energy Efficiency and Conservation Block Grant: Grants and Safety Coordinator Steve Warren said last spring, permission was granted to apply for an energy grant from the Americans Reinvestment and Recovery Act Program. He said the formula grant amounted to $645,100.00, and even though it had not been awarded, authorization was needed to accept the funding due to having only a five day acceptance timeframe. Warren said the process was done electronically (Fed Connect), and authority needed to be delegated to him to accept the grant. 14. Request for Approval of the October 6, 2009 Minutes 15. Request for Approval of a Resolution, as Required by the NC Department of Transportation, Pertaining to New City of Statesville Signage: Statesville City Manager Rob Hites said the city limit signs had not been updated in 17 years. He said the North Carolina Department of Transportation had numerous rules and regulations pertaining to the signage, and one was that the county had to adopt a resolution in concurrence with the new signs. Hites said the signage would be on the Interstates and major highways, and they would say "Welcome to Statesville City Limit; All America City; Hometown of NASA Astronaut Dr. Thomas H. Marshburn." Additionally, he said the less traveled roads would also have signs but on a smaller scale. The resolution is as follows: WHEREAS, the City of Statesville has not renewed its City Limit signage in a number of years; and WHEREAS, the City Limit signs are faded, and damaged in many locations; and WHEREAS, the current signs contain a number of "add on" signs that make the locations unsightly and hard to read; and WHEREAS, new and updated signage will be of benefit to the traveling public; and WHEREAS, the North Carolina Department of Transportation requires the concurrence of the Iredell County Commission in Statesville's request. 15 To appropriate ARRA Stimulus funds in the DSS department for overtime. BA#19 October 20, 2009 Account # Current chargeAmended General Fund 104630 431508 ARRAAdninOvertime - (46,434) (46,434) 105630 510004 Salaries and Vftes - Overtime 88,276 46,434 134,710 12. Request from the Planning Department for Authorization to Develop a Unified Development Ordinance (UDO): Planning & Development Director Ron Smith said the 2030 Horizon Plan had been adopted, and the next stage of the land use planning process might be the development of a Unified Development Ordinance. Smith suggested that all of the planning and development ordinances (zoning, subdivision, watershed, flood, airport, and erosion control) be reviewed and compiled into one ordinance or book. Mr. Smith said this would be a large project, and using the current county staff, it would take about a year for completion. He presented a project schedule and recommended approval of the UDO proposal. Commissioner Johnson encouraged the staff to proceed. He said a project briefing might be helpful and suggested that this occur at the board's retreat on Friday, November 6, 2009. County Manager Mashburn said November 6 would be an opportune time for the briefing. 13. Request for Approval to Accept a $645,100 Energy Efficiency and Conservation Block Grant: Grants and Safety Coordinator Steve Warren said last spring, permission was granted to apply for an energy grant from the Americans Reinvestment and Recovery Act Program. He said the formula grant amounted to $645,100.00, and even though it had not been awarded, authorization was needed to accept the funding due to having only a five day acceptance timeframe. Warren said the process was done electronically (Fed Connect), and authority needed to be delegated to him to accept the grant. 14. Request for Approval of the October 6, 2009 Minutes 15. Request for Approval of a Resolution, as Required by the NC Department of Transportation, Pertaining to New City of Statesville Signage: Statesville City Manager Rob Hites said the city limit signs had not been updated in 17 years. He said the North Carolina Department of Transportation had numerous rules and regulations pertaining to the signage, and one was that the county had to adopt a resolution in concurrence with the new signs. Hites said the signage would be on the Interstates and major highways, and they would say "Welcome to Statesville City Limit; All America City; Hometown of NASA Astronaut Dr. Thomas H. Marshburn." Additionally, he said the less traveled roads would also have signs but on a smaller scale. The resolution is as follows: WHEREAS, the City of Statesville has not renewed its City Limit signage in a number of years; and WHEREAS, the City Limit signs are faded, and damaged in many locations; and WHEREAS, the current signs contain a number of "add on" signs that make the locations unsightly and hard to read; and WHEREAS, new and updated signage will be of benefit to the traveling public; and WHEREAS, the North Carolina Department of Transportation requires the concurrence of the Iredell County Commission in Statesville's request. 15 NOW, THEREFORE, BE IT RESOLVED by the Statesville City Council and Iredell County Board of Commissioners that the NC Department of Transportation approve a new City Limit design for Statesville's Interstate and DOT collector streets in accordance with their guidelines. That the City Limit signs located along the Interstates be green with white block lettering and bearing the All American City logo in red, white and blue. The signs would state the following: "Welcome to Statesville" "City Limit" and additional signage to state "All America City" and "Hometown of NASA Astronaut Dr. Thomas H. Marshburn." That the City limit signs located along the DOT Interstate and collector streets having met the requirements of the Standards of Practice for Optional Welcome To Signs Section W-17 of the North Carolina State supplement to the MUTCD standards of design. This the 201h day of October, 2009. -------------------------------------------END OF CONSENT AGENDA ---------------------------------- ANNOUNCEMENT OF VACANCIES OCCURRING ON BOARDS & COMMISSIONS Crossroads Behavioral Healthcare (3 announcements) APPOINTMENTS TO BOARDS & COMMISSIONS Nursing Home Advisory Board (1 appointment): Commissioner Johnson nominated Kathy Smith. Chairman Williams made a otion to close the nominations and appoint Smith by acclamation. VOTING: Ayes — 4; Nays — 0. Adult Care Home Community Advisory Committee (1 appointment): Commissioner Norman nominated Margaret Marks. Chairman Williams made a notion to close the nominations and appoint Marks by acclamation. VOTING: Ayes — 4; Nays — 0. Jury Commission (lappointment): Commissioner Keadle nominated Irene Blackburn. Chairman Williams made a motion to close the nominations and appoint Blackburn by acclamation. VOTING: Ayes — 4; Nays — 0. PUBLIC COMMENT PERIOD: An opportunity was offered to the public to speak, but no one accepted. COUNTY MANAGER'S REPORT: A written activity report was distributed. ADJOURNMENT: There being no further business to conduct, Commissioner Keadle at 7:50 p.m. made aotio to adjourn. (Next Meeting: Tuesday, November 3, 2009, in the Iredell County Government Center, 200 South Center Street, Statesville, NC.) VOTING: Ayes — 4; Nays — 0. Approval: 16 Clerk to the Board