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HomeMy WebLinkAboutOctober 15 2002 Briefing MinutesIREDELL COUNTY BOARD OF COMMISSIONERS BRIEFING MINUTES OCTOBER 15, 2002 The Iredell County Board of Commissioners met in Briefing Session on Tuesday, October 15, 2002, at 5:00 p.m., in the Iredell County Government Center, 200 South Center Street, Statesville, NC. Present: Chairman Sara Haire Tice Vice Chairman Karen B. Ray Tommy E. Bowles Steve D. Johnson R. Godfrey Williams Staff Present: County Manager Joel Mashburn, Finance Director Susan Blumenstein, Social Services Director Don Wall, Income Maintenance Administrator Lynn Deal, Social Work Supervisor Linda Bledsoe, Transportation Director Ben Garrison, County Assessor Brent Weisner, and Clerk to the Board Jean Moore. CALL TO ORDER by Chairman Tice. REQUEST FROM THE SHEPHERD'S VOLUNTEER FIRE DEPARTMENT (VFD) TO EITHER DRAWDOWN FUND BALANCE OR TO BE GIVEN PERMISSION TO BORROW ADDITIONAL FUNDS FOR THE COMPLETION OF A NEW BUILDING: Representing the Shepherds VFD were Don McClain, Jamie Barrier, Kelly Robinson, and Tim Conley. Mr. McClain said the new building's electrical installation expenses were mistakenly omitted from the previous cost estimates. He presented a letter that included the following updated line item costs. P.S. West General Contractor $1,181,450.00 Change Orders for P.S. West 48,705.00 Overcash Electric 72,845.00 Estimated Change Orders with P.S. West 25,000.00 Cabinets, radio system, phone system, computer system, fire alarm system, sign, flagpole, fencing & landscaping 148,000.00 Furniture and appliances 107,000.00 Total Cost 1.58 (Note: On May 24, 2001, the new building was estimated to cost $1.2 million. The VFD, at that bine, also discussed the purchase of a new truck costing $300,000.) McClain said the VFD needed $500,000 to complete the building. He said the VFD's lender (Public Capital Corporation in New Hampshire) was willing to maintain the same interest rate of 5.23 and add $500,000 to the department's note, which would raise the payments to $60,110.24 without adjusting the term. McClain said the loan could also be extended to 15 years, and this would lower the payments to $44,316.56 per quarter. (The VFD currently is paying $41,760.83 per quarter.) Commissioner Williams asked the representatives how they would make a $60,000 payment. McClain said a tax increase would be necessary. He said there was also enough in a certificate of deposit to cover the difference. Robinson said the VFD had encountered numerous unexpected expenses, and that many of them, such as a fire extinguisher system, were required by law. Commissioner Ray asked if the VFD's contractor didn't know about the fire system requirements. McClain said the department didn't use an architect. He said an engineer had assisted them in getting the building's plans approved in Raleigh. Chairman Tice asked if the building was finished. McClain said about 95% of the work was done. He said parts of the interior and exterior still needed completion, e.g., cabinets, floor coverings, installation of the bay doors, and the pouring of concrete. Robinson said the area residents were anxious to use the building for community events. Commissioner Ray asked if any electrical work was included in the general contractor's (P.S. West) estimate. McClain said no. He said the costs for Overcash Electrical were in a separate contract. Commissioner Bowies said he understood the new building was exceeding the budget by $200,000. He asked if the new truck cost $300,000. Robinson said yes. Commissioner Williams said he understood the note's interest rate was 5.23 for ten and fifteen years. McClain said this was correct, and there were no pre -payment penalties. Commissioner Bowles asked what could be eliminated and still open up the building for the public's use. McClain said he didn't know. He said the kitchen needed to be finished so the fundraisers could be held. Commissioner Ray asked about the fencing. Robinson said there was only about 15 feet of fencing. McClain said the VFD desired to leave its fund balance intact. He said the department had been paying on the note for a year, so there would only be 14 years of payments left. Robinson asked about waiting until July and setting the tax rate at five cents. Bowles and Johnson expressed concerns. They both said some people had expressed concerns about the building being too "extravagant." Robinson said the commissioners should tell the people that the fire department met on the second Monday of the month, and the public was invited to share their concerns. Commissioner Ray asked about the type of furniture the VFD needed. McClain said furniture was needed for the entire building -- training room, dining room, kitchen, beds, office furniture and equipment (copy/fax machines). He apologized for the representatives' appearance before the commissioners regarding the building's needs, but he said, "We need to finish the project." Commissioner Ray asked if the VFD had drawn down all of its money. McClain said he was holding a $79,000 invoice. 2 Robinson said the department had a truck for sale, and it should bring about $60,000. Several commissioners voiced concerns about making a decision regarding the building. County Manager Mashburn said that in the past, the lenders had requested a letter from the county stating there were no objections to the banking transactions. He said that unless the lender had to have something, he didn't of anything the board of commissioners needed to do. Commissioner Ray said the presentation from the VFD representatives would be considered a status report. No action was taken by the board. JUVENILE CRIME PREVENTION COUNCIL (JCPC): Clerk to the Board Moore said the JCPC had been unsuccessful in locating an individual from a United Way or non-profit agency to serve on its board. Moore said Pat Reichart, a current JCPC member, was employed at a United Way agency (YMCA), and she was willing to represent the non-profit sector. Mrs. Moore asked if there were any objections for Reichart to represent non -profits, and none were voiced. REQUEST FOR THE CONSIDERATION OF A RESOLUTION TO LEVY THE THIRD ONE-HALF CENT SALES TAX TO BECOME EFFECTIVE DECEMBER 1, 2002: A brief discussion was held about the possibility of levying the third half cent sales tax, but the matter was not placed on the consent agenda. Finance Director Blumenstein said the $2.9 million referred to in the resolution did not include the withheld $330,000 in beer & wine money. She said Governor Easley had withheld these funds in 2001-02. A question was raised about any other revenues the State might withhold. Blumenstein said the beer and wine reimbursements were primarily all that was left. She said the budget approved by the General Assembly excluded about a $1 million for the Public School Building Capital fund, and the school systems would soon update the commissioners about their budgets. She said the county's Medicaid costs had increased by 50% since 2001. ADJOURNMENT: Chairman Tice adjourned the briefing session at 6:40 p.m. Approved: 3 Clerk to the Board