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090407September 4, 2007 The Randolph County Board of Commissioners met in regular session at 4:00 p.m. in the Commissioners Meeting Room, County Office Building, 725 McDowell Road, Asheboro, NC. Commissioners Holmes, Frye, Haywood, Kemp and Lanier were present. Minister Wade H. Craven, Randleman Friends Meeting, gave the invocation and everyone recited the Pledge of Allegiance. Recognition of Retirees Chairman Holmes presented an engraved clock to Judy Craven, Tax Department, who is retiring from the County with 22 years of service. Chairman Holmes presented an engraved clock to Linda Dix, Department of Social Services, who is retiring from the County with 23 years of service. Public Comment Period Pursuant to N.C.G.S. § 153A-52.1, Chairman Holmes opened the floor for public comment. Bill Ivey spoke in support of the NC Pottery Center (NCPC), giving a history of its evolution. He asked the Board to consider reinstating the NCPC's funding for FY07-08. About 30 people stood in support of the NC Pottery Center. Meredith Heywood, operator of Whynot Pottery in Seagrove, spoke in support of the NCPC. She said the NCPC is the best method for visitors to be able to find shops on the less traveled roads. She said that the NCPC's staff and board are willing to work with the County Commissioners and the TDA in any way to make a better working relationship. She asked the Board to reinstate the NCPC's funding. Fred Johnston spoke in support of the NCPC, saying that it is a great asset to the community. Ben Owen spoke in support of the NCPC, saying that visitors go there to see examples of different types of pottery and then they schedule their day (visits to potters) according to their own tastes. He also said that potters give back to the community by donating their wares for charities and civic functions. Aweilda Williams said that potters are contacted about 600 times a year for donations. Jennie Keatts spoke in support of the NCPC, saying that tourists need the Pottery Center in order to find the potteries "off the beaten path." She also said that the Center provides historic background on area potteries. She encouraged the Board to restore the NCPC's funding. Sally Larson, President of the Seagrove Area Pottery Association, spoke in support of both the NCPC and the Museum for Traditional Pottery (MTP). She said that the MTP does a good job with the pottery festival every year. Denny Meacham, NCPC Director, said that she appreciates all of the past support by the County. She says that the NCPC is willing to work in good faith with any and all organizations in order to benefit the community. She said that if the County funding is not reinstated they would be out of business immediately. Richard Gillson, Museum of Traditional Pottery Director, spoke in support of his organization, saying that their budget is very slim. He said that the fall pottery festival brings in over $500,000 to the community with the net profit of about $80,000 going to the MTP. He told the Board that he didn't oppose them funding the NCPC but asked that the MTP be funded as well. He also mentioned that the NCPC is (property) tax exempt but the Tax Department has denied the MTP's application for tax exempt status. When asked, Mr. Gillson said that the $10,000 that the County funded the MTP for FY06-07 was used for promotional expenses. County Manager Richard Wells said that the funds were stipulated for capital purposes. Mr. Gillson responded by saying that they had done repairs to their building. He also said that he thought they just about had everything worked out with the Town of Seagrove regarding their zoning issues. Nancy Gottovi spoke in support of the NCPC, saying that by funding the NCPC, that money will be leveraged many times over. When the County supports the NCPC, it sends a good message to other supporters. Commissioner Frye said that the $23,500 that the County did not include in the FY07-08 budget for the NCPC was not the issue. He said that the Board kept getting signals that there was a lot of controversy between the different pottery factions in Seagrove. He said that the Board expects cooperation and a singleness of purpose. He also suggested that there be a commissioner representative on the NCPC's Board. The Board decided to reconsider the NCPC's funding and to make a decision at their October meeting. Richard Gillson spoke again, saying the he would welcome a commissioner on the MTP Board as well. Marylene Johnson thanked all potters for their generous donations to charity and civic organizations and invited everyone to the upcoming Hospice B -B -Q and auction. She encouraged the Board to support the potters. At 5:17 p.m., Chairman Holmes closed the public comment period. Addition and Action on Consent Agenda Chairman Holmes added item G. Approve Budget Amendmentfor Social Services to the Consent Agenda. On motion of Haywood, seconded by Frye, the Board voted unanimously to approve the Consent Agenda, as follows: • approve regular and closed session minutes of 8/6/07 and unseal 7/9/07 closed session minutes; • reappoint Cindy Miller to Adult Care Home Community Advisory Committee; • reappoint Claire Casale to Nursing Home Community Advisory Committee; • approve "Family Day A Day to Eat Dinner with Your Children " Proclamation, as follows: WHEREAS, the use of illegal and prescription drugs and the abuse of alcohol and nicotine constitute the greatest threats to the well-being ofAmerica's children; and WHEREAS, 12 years of surveys conducted by The National Center on Addiction and Substance Abuse (CASA) at Columbia University have consistently found that the more often children and teenagers eat dinner with their families the less likely they are to smoke, drink and use illegal drugs; and WHEREAS, teenagers who eat dinner with their families two times a week or less are twice as likely to drink alcohol and smoke cigarettes, compared to teens who have frequent family dinners; and WHEREAS, teenagers who eat dinner with their families are half as likely to smoke cigarettes, smoke marijuana and drink alcohol; and WHEREAS, the correlation between family dinners and reduced risk for teen substance abuse are well documented; and WHEREAS, parental engagement is known to be one of the most crucial factors in determining the likelihood of substance abuse by teenagers; and WHEREAS, family dinners have long constituted a substantial pillar offamily life in America. NOW, THEREFORE, the Randolph County Board of Commissioners hereby proclaim September 24, 2007 as Family Day A Day to Eat Dinner with Your ChildrenTMand urge all citizens to recognize andparticipate in its observance. 0 approve Resolution regarding Notary Oaths of Office at Register of Deeds, as follows: WHEREAS, the Randolph County Register of Deeds office maintains office hours of 8:00 a.m. until 5:00 p. m. Monday through Friday; and WHEREAS, pursuant to Randolph County Board of Commissioners resolution of June 5, 1995, real estate documents may not be registered after 4:30 p.m. in the Randolph County Register of Deeds; and any documents presented after 4:30 p.m. will be accepted but not recorded until 8:00 a.m. the next workday, in the order in which they were received; and WHEREAS, since Notary Public oaths are recorded with the real estate documents, Notary oaths will be administered and their subsequent documentation recorded only during the hours of 8:00 a.m. 4: 30 p. m. NOW, THEREFORE, BE IT RESOLVED by the Randolph County Board of Commissioners that Notaries may not be sworn in after 4:30 p.m. in the Randolph County Register of Deeds office. BE IT FURTHER RESOLVED that this action shall become effective September 5, 2007. • approve Budget Amendment #5 for the Health Department, as follows: 2007-2008 BUDGET ORDINANCE—GENERAL FUND AMENDMENT 95 Revenues Increase Decrease Restricted Intergovernmental $12,301 Appropriations '' Increase Decrease Public Health $12,301 • approve Budget Amendment # 6 for Social Services, as follows: 2007-2008 BUDGET ORDINANCE—GENERAL FUND—AMENDMENT #6 Revenues Increase Decrease Miscellaneous $15,000 Appropriations Increase Decrease Social Services $15,000 Public Hearing, Action and Budget Amendment on the Expenditure of Public Funds on the Randolph County Economic Development Corporation's Randleman Property Chairman Holmes opened a duly advertised public hearing at 5:00 p.m. Bonnie Renfro, Randolph County EDC President, explained that the EDC, in April 2000, purchased a 47.3 -acre site in Randleman for development of its second industrial park. Another 5.61 acres was placed under option. This property, now known as the West Randleman Business Park, was financed by the EDC through a bank loan for $762,500 with a credit line of up to $1 million for additional development costs. The Randolph County Board of Commissioners agreed to assist with the cost of debt service as needed for the project. In October 2004, 17.18 acres of land was sold to Rheem Air Conditioning Distribution Center. In December 2004, the EDC purchased 3.241 acres of the optioned acreage. Total acreage available currently is 33.36 acres, with 2.3 acres under option. The loan balance is $436,993.04 and the debt service payment due September 2007 is $34,337.34. Following Board approval, these funds will be reimbursed to the EDC via a transfer from the Economic Development Reserve Fund. Chairman Holmes asked for public comment and, hearing none, closed the public hearing. On motion of Frye, seconded by Haywood, the Board voted unanimously to approve the $34,33 7.34 interest payment for the EDC and Budget Amendment #7, which transfers funds to the EDC from the Economic Development Reserve Fund, as follows: 2 00 7-2 008 GENERAL FUND—AMENDMENT #7 Revenues Increase Decrease Transfer from Economic Development Reserve $34,338 Appropriations Increase Decrease Other Economic Development Appropriations $34,338 Randolph County Schools Stipend Request Donald Andrews, Randolph County Schools Superintendent, asked the Board to approve (per NCGS 115C- 38) additional stipend compensation (in lieu of in -county travel) for the Randolph County Board of Education members, as follows: Current Compensation (Per month) Chairperson $300 Membership $200 Proposed Compensation (Per month) Chairperson $400 Membership $300 On motion of Frye, seconded by Kemp, the Board voted unanimously to approve the compensation package, as proposed, for the Randolph County Board of Education members. Request for Capital Needs for RCC Dr. Bob Shackleford, President of RCC, asked the Board for funding for a building for the Early College High School, now in its second year. The plan is to erect a modular unit (estimated cost of $500,000) by fall of 2008 until a permanent building can be built. The total cost of the advanced planning design phase for the permanent structure is $292,893; RCC is requesting that the County allocate $500,000 for the modular unit and partner with them to pay half of the design cost at $146,447. County Finance Officer Will Massie said that the savings from Medicaid relief could possibly be used for this purpose. On motion of Haywood, seconded by Frye, the Board voted unanimously to approve funding for a temporary modular building at RCC in the amount of $500, 000 and $146,44 7 for the County's share in the design phase for the permanent building for the Early College High School program and Budget Amendment #8, as follows: 2007-2008 GENERAL FIND --AMENDMENT #8 Revenues Increase Decrease Appropriated Fund Balance $646,447 Appropriations Increase Decrease Education $646,447 2006 Scattered Site Housing CDBG Proiect Bid Proposal Patty Willard, Assistant Public Works Director, said that in 2006, Randolph County received a grant in the amount of $400,000 for a Scattered Site Housing Community Development Block Grant project. In this grant, the County stated it would rehabilitate at least seven homes. We have completed our first two homes and are now ready to start rehabilitation on the next two. The Scattered Site Housing Committee has selected the homes of Colleen Apple in the Denton area and Vertie Shoffner in the Liberty area. Bid packages were issued on August 9, 2007 at a pre-bid meeting with the contractors. The following bids were received on August 16, 2007: Bidder Colleen Apple Vertie Shoffner Glenn Avery Construction $48,426 $54,287 Glenn King Construction $32,220 *low bidder $44,325 *low bidder IQC Construction $37,472 $58,477 On motion of Lanier, seconded by Frye, the Board voted unanimously to award two separate contracts to Glenn King Construction, one in the amount of $32,22 0 for Colleen Apple's home and another in the amount of $44, 325 for Verne Shoffner's home. Refund of Excise Tax Aimee Scotton, Staff Attorney, stated that attorney Edward Bunch has requested the refund of excise tax paid on a deed that was erroneously recorded in Randolph County. The deed should have been filed in Montgomery County; the excise tax paid on this property in Randolph County was $320. Mr. Bunch is requesting the refund of $320 per North Carolina General Statute 105-228.37. This statute requires that a taxpayer requesting a refund must file a written request for said refund with the Board of County Commissioners within 6 months after the date that the tax was paid. Within 60 days after this request, the Board of Commissioners must review the request and hold a hearing to make a decision on the refund. If the Board finds that the refund is due, the Board shall refund the County's portion of the tax. Before the tax is refunded, the taxpayer must record a new instrument reflecting the correct amount of tax due. On motion of Haywood, seconded by Lanier, the Board voted unanimously to approve the refund of $320 to the law office of Edward Bunch, contingent upon the attorney making the proper filings. Discuss Date for Fall Planning Retreat The Board discussed the possibility of having a fall planning retreat. The Board decided to wait until the October meeting to make this decision. Recess At 5:50 p.m., the Board recessed. Update on Medicaid Relief At 6:35 p.m., the Board reconvened, and County Finance Officer Will Massie updated the Board on recent State legislation issues affecting Randolph County. The most important one is, of course, Medicaid relief in a total elimination of the County's obligation for Medicaid, through a three-year phase-out by the State. To do this, the State has made significant changes to the County's revenue streams, especially sales tax. The Medicaid relief provisions of the State budget will affect Randolph County differently over the next three years. Fortunately, the State created a hold harmless provision which will guarantee the County at least $500,000 in total savings every year. This will be critical after the State begins restructuring the sales tax distributions. Using the Senate Finance Committee calculations, in 2007-08 Randolph County will receive a 25% reduction in its share of Medicaid cost (from 15% down to 11.25%) effective October 1. Our funding from ADM (Public School Building Capital Fund), which is used for debt service on school construction, will be reduced for one year only; the projected negative adjustment is over $700,000. Any cost savings are required to be used to replace the reduction in ADM funds. For 2007-08, the projected total savings to the County will be $500,000 due to the hold harmless provision. In 2008-09, the County's share of Medicaid drops 50% from current levels (to 7.5% of total costs). The County begins to lose sales tax revenues; one-half of the Article 44 sales tax reverts to the State on October 1, 2008. Counties will have to hold municipalities harmless; the State will adjust the County's sales tax distributions to cover the lost municipal sales taxes. Because the Medicaid cost savings exceed the lost sales tax revenues, fiscal year 2008-09 is Randolph County's best year, over a million dollars in total savings. However, the picture changes in 2009-10. Although the State picks up 100% of the County's share of Medicaid on July 1, 2009, they also take the other half of Article 44 sales tax and convert Article 42 distribution method from per capita to point of sale, effective October 1, 2009. Because of population, Randolph County gets more sales tax from per capita than by point of sale, so the Article 42 change will hurt. The County will be responsible for municipal hold harmless for all these sales tax adjustments. According to the State's calculations, Randolph County will still come out with savings over $600,000 for 2009-10. By 2010- 11, all the changes will be in effect for the entire fiscal year. The loss in sales taxes are more than the growth in Medicaid, so the County will end up with the $500,000 minimum savings after the State puts back in over $1.3 million. In 2011-12, the State will put back $783,140 to provide the $500,000 promised savings. It appears it will be another two years before the growth in Medicaid (that the County won't have to pay) will offset the lost sales tax revenues (without State hold harmless monies). Nevertheless, Randolph County will come out better every year because of this legislation, and the County won't have to finance double digit increases in the Medicaid program. Another legislative goal pressed by the Association of County Commissioners was alternative revenue sources for counties. The State budget allows counties to hold a referendum on an additional one-quarter cent sales tax or an increase in the land transfer tax. Mr. Massie recommended serious consideration for the additional sales tax option. The revenues collected would be unrestricted and distributed entirely to the County. The additional sales taxes would help keep some pressure off the property tax rate as the County absorbs the costs of school construction and the County School Board's increased operating costs of two new high schools. One small provision included in the State budget now requires counties to fund courthouse telephone systems out of court facilities fees. Since operating costs for the Randolph County Courthouse already exceed the court facility fees provided to the County, the cost of telephone replacement will have to be funded from another source. There were several other pieces of legislation which affect the financial status of the County. The I-73/74 Visitors Center south of Seagrove got the go-ahead, with operating costs funded by the Department of Commerce. This facility will have a positive impact on the NC Zoo, potteries, and other attractions within the county. Representative Harold Brubaker co-sponsored legislation to coordinate an enhanced 911 system which will require both wireline and wireless providers to charge the same 911 service charges and administer the revenues through the State 911 Board (formally the Wireless 911 Board). Randolph County is currently assessing 65 cents for wireline; effective January 1, 2008, the rate will be 70 cents, the same as wireless services. The General Assembly also passed legislation to impose a $2 per ton tipping fee which the County must collect and remit to the State; this external fee will be listed on billing statements. There are other aspects of the bill which could have negative implications for the County's solid waste operations. At the County's request, the General Assembly gave Randolph County Commissioners the authority to require an audit of volunteer fire departments. County staff are working with the departments which currently are not being audited in order to increase their understanding of accounting procedures, reporting requirements, and related issues such as internal controls. The County hopes to see audits of all departments within four years. Rezoning Public Hearing At 6:45 p.m., the Board adjourned to a duly advertised public hearing to consider zoning requests. Hal Johnson, Planning and Zoning Director, presented the following requests, and Chairman Holmes opened the public hearing for comments on each request and closed it before taking action on each request. 1. EARNHARDT BUILDERS, Asheboro, is requesting that 26.20 acres located on Hoover Hill Rd., Tabernacle Township, be rezoned from RA to CVOE-CD. Tax ID# 7713289156. Secondary Growth Area. The proposed Conditional Zoning District would specifically allow the development of a 24 -lot site -built subdivision as per site plan with a minimum house size of 1,200 sq. ft. (Cecil & Rebekah Barnes -Property Owners). The Planning Board reviewed this request at a public meeting on August 7, 2007, and unanimously recommended that this request be approved with the condition of a level 1 buffer (35 -ft. no -cut buffer) along the south and west property lines as consistent with standards and policies contained within the Growth Management Plan. Policies within the Growth Management Plan supporting approval of this request: Policy 6.13 Conventional Residential Subdivisions are anticipated of similar housing characteristics to the community. Policy 6.14 Residential subdivisions should, in order to promote efficiencies in the delivery of urban services, be encouraged to develop in a fashion which minimizes "leap frog" development (i.e. leaving large vacant areas between developments). Rebecca Hoover Barnes, property owner, spoke in support of this request, saying that this subdivision would make a nice addition to the community. Al Horner of Horner -England & Associates, a land surveying and engineering firm, spoke in support of this request. He said that 70% of the surrounding homes are mobile or manufactured homes; a stick -built subdivision would help to encourage more stick -built subdivisions. Mr. Horner offered buffers on all sides except the Hoover Hill Road side of the property as a condition to the request. Thomas Hill, 2275 Hoover Hill Road, said that this subdivision would affect him more than anyone else. He said he was also speaking on behalf of his wife, who was absent due to illness. He said that 24 homes is too many. It would make the road and area schools too crowded. However, if the request is approved, he asked that adequate buffers be required. On motion of Frye, seconded by Haywood, the Board voted unanimously to approve the request of Earnhardt Builders, as consistent with the standards and policies contained within the Growth Management Plan and as outlined in the recommendations provided by the County Planning Board, including a 35 ft. no -cut buffer around all property boundaries except the Hoover Hill Road boundary. 2. JOE AGEE, Asheboro, is requesting that 138.69 acres out of 386.3 acres located on Old NC Hwy 13, Richland Township, be rezoned from RA to CVOE-CD. Tax ID#'s 7677018307, 7677121422, 7677156188. Secondary Growth Area. The proposed Conditional Zoning District would specifically allow the development of a 61 -lot site -built subdivision with a minimum house size of 1,400 sq. ft. (Selme Trogdon Ward Recovable Trust- Property Owner). The Planning Board reviewed this request at public meeting on August 7, 2007, and unanimously recommended that this request be denied as inconsistent with standards and policies contained within the Growth Management Plan, specifically because of the number of driveway connections on Hwy. 13. Policies within the Growth Management Plan supporting denial of this request: Policy 6.13 Conventional Residential Subdivisions are anticipated of similar housing characteristics to the community. Policy 6.16 The County should preserve scenic views and elements of the county=s rural character by minimizing perceived density by minimizing views of new development from existing roads through use of natural buffers and open space. Policy 6.22 New driveway connections should be designed in a way to minimize new locations on existing public roads. Mr. Johnson stated that Mr. Agee had withdrawn his request due to the Department of Transportation's concerns about the large number of driveway connections on Hwy. 13. He said Mr. Agee will reconfigure the site plan and submit a new request. Mr. Johnson advised that if the Board considered the request and denied it, Mr. Agee could reapply after 30 days if his request is a significant change. On motion of Kemp, seconded by Frye, the Board voted unanimously to deny the request of Joe Agee. C. JAMES SMITH, Greensboro, is requesting 14.2 acres located at 6788 Willard Road, Liberty Township, be rezoned from HI -CU to HI -CD. Primary Growth Area. Rocky River Watershed. Tax ID# 8725675147. The proposed Conditional Zoning District would be to amend existing conditions to allow flexibility in operating hours based on event schedule. The Planning Board originally reviewed this request at public meeting on June 5, 2007, and by a vote of 6 to 1, recommended that this request be approved to amend the Conditional Zoning to allow time extensions past 11:00 p.m. for 7 racing events with an unforeseen circumstance per calendar year. The Board also recommended that Mr. Smith provide documentation of the unforeseen circumstance to the Planning Department. This request was considered at Public Hearing on July 9, 2007 by the Board of Commissioners, and a decision on the request was tabled until such time that Mr. Smith had brought his property into compliance with the existing Conditional Use zoning. The Commissioners also requested that the Planning Board provide more specific recommendations as to what the Board should consider as "unforeseen circumstances" in allowing the race to run past 11:00 p.m. Planning Director Hal Johnson informed the Planning Board that the code enforcement officers have visited the site and Smith has re -planted his buffers, repaired fencing, and the garbage has been picked up. Johnson said Smith is in compliance with his Conditional Use Permit. The Planning Board further reviewed this request at public meeting on August 7, 2007 and by a unanimous vote recommended to define an "unforeseen circumstance" in this case as a power outage, racing delayed due to weather, or a wreck or accident at the track. The Board further recommended that no "unforeseen circumstance" should allow racing to continue past 1:00 a.m. With these clarifications, the specific conditions recommended by the Planning Board for amendment to the existing Conditional Zoning are as follows: a. unforeseen circumstances shall be the following: power outages, racing delay as a result of weather, and accidents or wrecks at the track b. time extensions past 11:00 p.m. can be granted for not more than 7 racing events during a calendar year c. no race operating past 11:00 p.m. shall continue past 1:00 a. m. d. documentation shall be provided to the County Planning Director of any event where the above -referenced circumstances required that the race operate past normal cut-off hours of 11:00 p.m. Policies within the Growth Management Plan that would support approval of this request: Policy 1.2 The benefits of economic development should be balanced against the possible detrimental effects such development may have on the quality of life enjoyed by area residents. Policy 1.6 Planning and development decisions should be based on the principal of promoting investment in Randolph County to expand employment opportunities while preserving and improving the quality of life for all county residents. Policy 4.5 Effective buffering and/or landscaping should be provided where commercial development adjoins existing or planned residential uses. Mr. Johnson said that Mr. Smith has cleaned up the site to the satisfaction of the Planning staff He also said that the Planning staff is considering instituting citations for violations. Jim Smith, applicant, said that he has added 250 trees (buffers). He said that this is a legitimate business and that it is very good for the County. His biggest problem is power outages; he has complained repeatedly to the power company about this. Also, when it rains, it can take 2 hours to get the track back in shape. Mr. Smith distributed pictures of the track and magazine articles about the race track. He said he has been in contact with Marvin Wall (a neighbor) in order to make a good faith effort to improve relations. He said he wants to be a good neighbor and doesn't want to bicker. He said if he makes a mistake he will be happy to pay for it. Marvin Wall, 6911 Sandy Creek Church Rd., Staley, said that he understands that the race track is a business; he just does not want these races to occur every week. He also appreciates that Mr. Smith is making an effort to make things more tolerable in the neighborhood. However, his parents live nearest to the track than anyone else and when the races are underway, they cannot even hear their television. He asked that Mr. Smith erect some sort of barrier or fence to help protect neighbors from the track noise and trash. He also made reference to a recent local newspaper article regarding hearing loss due to racing noise. He inquired about any available grants that could be used to fund the construction of some sort of fence or buffer to decrease the noise. On motion of Lanier, seconded by Haywood, the Board voted unanimously to approve the request of Jim Smith to allow flexibility in operating hours based on event schedule, with the recommendations outlined by the Planning Board regarding "an unforeseen circumstance " as it relates to the allowance of time extensions past 11: 00 p.m. for 7 racing events per calendar year; Mr. Smith is also to provide documentation of the unforeseen circumstance to the Planning Dept. Adjournment There being no further business, the meeting adjourned at 7:55 p.m. J. Harold Holmes, Chairman Darrell L. Frye Phil Kemp Arnold Lanier Stan Haywood Cheryl A. Ivey, Clerk to the Board