The Alleghany
County Board of Commissioners met in special session on Thursday, April 20, 2006, at 9:00am
in the Conference Room of the County Office Building, 90
South Main Street, Sparta,
North Carolina. The purpose of this meeting is to have a
budget planning session for the FY06/07 budget.
Present: Chair Eldon Edwards, Vice-Chair Warren
Taylor, Commissioner Sandy Carter Herndon,
Commissioner Ken Richardson, County Manager Don Adams, and Clerk to
the Board Karen Evans.
County Attorney Donna Shumate was
absent. Commissioner Graylen Blevins was
present but arrived late.
Chair Eldon Edwards called the meeting
to order.
County Manager Don Adams reviewed the
agenda topics for this meeting. He
further reviewed the budget schedule. He
asked the Board to schedule the public hearing on the budget and three days to
meet with departments.
The Board of Commissioners and County
Manager Don Adams discussed times for the public
hearing and starting the budget meetings.
Commissioner Graylen Blevins arrived at
9:10am.
The Board of Commissioners and County
Manager Don Adams decided on June 19 during the
regular meeting for the public hearing and May 31, June 1 and June 2. They asked that the County Manager and Clerk
schedule the budget meetings and let them know.
County Manager Don
Adams reviewed pie charts for expenditures by
function, expenditures by object, revenues per capita, revenues, and tax
collection rate. He explained
spreadsheets about taxation ranking the County in comparison with all North
Carolina counties. He further explained a spreadsheet regarding
the percentage of property owners residing in Alleghany County. He talked about fund-balance percentages.
County Manager Don
Adams talked about debt service and reviewed a
spreadsheet regarding the County’s debt.
He explained the net-debt ratio and the debt service analysis.
County Manager Don Adams presented a
new budget spreadsheet for 2006/2007. He
explained the spreadsheets including new requests and capital needs.
The Board of Commissioners and County
Manager Don Adams discussed the Dispatch budget not
having capital needs in the budget. They
talked about the needs that have been discussed with the Sheriff regarding
moving Dispatch.
Chair Eldon Edwards mentioned the
Veterans’ Office request. He explained
that the VFW has been providing office space.
He further explained that each veteran’s office should be operating 2 ½
days a week. He talked about the need
for more space, a copier and fax/printer.
County Manager Don Adams explained
that currently the requested budget has a 2% cost of living but not any other
requests regarding personnel or salary requests.
Chair Eldon Edwards talked about the
veterans’ officer position going to 1,000 hours with benefits. He stated that the State provides $2,000 towards
these expenses.
Commissioner Graylen Blevins stated
that the personnel requests for Social Services came from the State. He explained the reasoning of the State’s
requirements.
County Manager Don Adams explained the
process that he goes through in making his budget recommendations.
Commissioner Sandy Carter Herndon asked
what options the Board has to raise monies without looking at property taxes.
County Manager Don Adams explained the
fees that the County currently collects.
The Board of Commissioners discussed
the need to talk with the legislators regarding impact fees and transfer
fees.
County Manager Don Adams talked about
fee schedule changes that will be coming to Board including Ambulance Service mileage
rates. He further talked about fuel
costs rising and the impact on the budget.
Commissioner Ken Richardson talked
about the most immediate budget relief is some type of Medicaid relief.
County Manager Don Adams explained the
two options regarding Medicaid; the State taking over the Medicaid expenses in
place of the Article 39 sales tax and then counties can enact another 1 cent
sales tax or cap Medicaid expenses at the current level.
Commissioner Warren Taylor explained
that the NCACC is pushing capping the Medicaid expenses. He stated that anything we can do is to the
County’s advantage.
County Manager Don Adams explained the
current health insurance benefits including the costs, quote from BCBS for next
year and quote from CIGNA for next year.
He further explained the quote from CIGNA includes a $10,000 signing
bonus if documents are signed by May 15.
Next, he explained two other options for CIGNA to reduce costs. He reviewed the network for CIGNA.
Commissioner Warren Taylor talked about
having the hospital in the network and leaving the benefits the same as they
are currently with BCBS.
Commissioner Sandy Carter Herndon
stated that she agrees with Commissioner Taylor.
County Manager Don Adams stated that
the hospital is working with CIGNA to become part of the network. He stated that the employees would switch
over on July 1. He further stated that
there are no major changes to the benefits between the two companies. He reminded the Board that this decision to
switch to CIGNA was made by the NCACC.
He explained why the NCACC choose to switch to CIGNA.
Commissioner Ken Richardson talked
about the Health Department’s policy regarding employees’ health insurance upon
retiring.
County Manager Don Adams updated the
Board on prior actions regarding changing the medical benefits for
retirees.
Commissioner Warren Taylor asked the
County Manager to check into
the state employees’ retirement.
Commissioner Ken Richardson talked
about changing the policy with new employees.
The Board of Commissioners
and County Manager Don Adams
discussed medical insurance for retirees, changing the policy for all new
employees, years of service and Medicare supplement.
The Board of
Commissioners discussed the plans between BCBS and CIGNA.
Commissioner
Warren Taylor made a motion to switch to CIGNA for health insurance. Commissioner Sandy
Carter Herndon seconded the motion. Vote 5:0.
County Manager Don
Adams reviewed the proposed insurance agreements for
property/liability and workers comp. He
further reviewed the current year rates and next year’s rates for
property/liability and workers comp.
Commissioner Ken Richardson
made a motion to approve the property/liability and workers comp agreements for
the upcoming budget year. Commissioner Sandy
Carter Herndon seconded the motion. Vote 5:0.
County Manager Don
Adams presented the proposed merit system. He explained the proposal.
Commissioner Warren Taylor,
Chair Eldon Edwards and Commissioner Graylen Blevins stated that they don’t
like a merit pay system. Commissioner
Warren Taylor stated his appreciation for the time spent on the matter.
Commissioner Sandy
Carter Herndon explained that her background and
experience was that merit increases were the only method of increases.
Chair Eldon Edwards stated
his opinion is to use the pay plan that is in place now and give an annual
increase to everyone.
The Board of Commissioners
and County Manager Don Adams
discussed the costs associated with a merit system. County Manager Don
Adams asked the Board if they approve a merit system,
which way they want to proceed with merit; increases for the best performing employees
or an increase for everyone.
Commissioner Sandy
Carter Herndon talked about doing what can be
implemented
Commissioner Warren Taylor
stated that the plan that gives everyone an increase is just like a cost of
living increase.
County Manager Don
Adams stated that it sounds like the Commissioners
are all over the page on this issue, and he will come back with something else.
Being no further business,
Commissioner Ken Richardson made a motion to adjourn the meeting at 11:48am. Commissioner Graylen Blevins seconded the
motion. Vote 5:0.
Respectfully submitted,
Karen Evans
Clerk to the Board
Attest:
Eldon Edwards
Chairman