The Wise County Board of Supervisors met in a Regular Meeting on Thursday, May 10, 2012 at 6:00 PM in the Board of Supervisors meeting room located in the Wise County Courthouse. The following were present:
Honorable Robert R. Adkins, Chairman
Honorable Virginia Meador – Vice-Chair
Honorable Ronald L. Shortt
Honorable Steve Bates
Honorable Dana Kilgore
Honorable Robert E. Robbins, Jr.
Honorable J. H. Rivers – members of said Board and
Shannon C. Scott – County Administrator
David L. Cox – Finance Administrator
Karen T. Mullins – County Attorney
Annette Underwood – Executive Secretary
Honorable Fred Luntsford
R. J. Rose, Pastor First Baptist Church in Coeburn led in prayer.
All led in the pledge of allegiance to the flag.
A motion was made by Virginia Meador, seconded by Ronnie Shortt, to approve the minutes as presented. The motion was unanimously approved.
The following items were listed as additions to the agenda:
Resolution Approving Coal & Gas Road annual Plan for roads & Bridges July 1, 2012 thru June 30, 2013
An additional Budget Amendment Regarding QSCB Interest
Authorization to transfer budgeted monies from Regional Jail to Sheriff Department
Commissioner of Revenue Refund Request
Supervisor Rivers asked the Approval of County Audit FY 2010/11 be moved from the Consent Agenda to New Business for discussion.
Supervisor Kilgore asked that the Resolution approving Coal & Gas road Annual Plan for Roads & Bridges be moved from the Consent Agenda to New Business for discussion.
A motion was made by Ronnie Shortt, seconded by Robby Robbins, to approve the agenda as presented to include the additions and changes as noted. The motion was unanimously approved.
ROADS AND HIGHWAYS
Supervisor Kilgore stated that she has received a request asking that the road located in the Miller section of Pole Bridge Road be marked.
Jackie Christian, Maintenance Operations Manager for VDOT, explained that there is a requirement of 18 ft R-O-W before a road can be marked. He said he would check the road to ascertain whether or not it qualifies.
Supervisor Robbins asked that the County’s portion of Rt. 619 leading to the High Knob Tower be re-paved if possible or if money is not available that the pot holes be filled in.
Mr. Christian stated that VDOT and the City of Norton have applied for a grant for repairs to this road but no response has been received to date.
Supervisor Bates asked that guardrails be placed on Dotson Creek where the school bus turns. This is a safety problem that needs attention.
Supervisor Shortt asked that brush be removed in the ditch lines on Rocky Fork beginning at the intersection for the first two or three miles.
IN RE: PUBLIC HEARING – SECONDARY SIX YEAR PLAN
A public hearing has been duly advertised for a joint public hearing between VDOT and the Board of Supervisors to receive public comment on the proposed Secondary Six Year Plan for FY 2012/13 through 2017/18 and on the Secondary System Construction Budget for FY 2012/13.
Allan Sumpter, Residency Supervisor, reviewed the Secondary Six Year Plan with comments on each project and reviewed the Secondary System Construction Budget.
There being no further comments the public hearing was closed.
IN RE: PUBLIC HEARING – AMENDMENT EXCEEDING 1% OF FY 2011/12 BUDGET
A public hearing was duly advertised for this date to receive citizens input on a proposed amendment to the FY 2011/12 budget which totals an amount greater than 1% of the adopted budget. This amendment is due to a requested supplemental allocation for the Comprehensive Services Act.
There being no public comments regarding this proposed amendment, the public hearing was closed.
IN RE: PUBLIC HEARING – ORDINANCE -QUARANTINE OF DOGS & CATS
A public hearing was duly advertised for this date to receive citizens input on a proposed ordinance prohibiting dogs and cats from running at large June 3, 2012 thru July 28, 2012.
There being no public comments regarding the proposed ordinance, the public hearing was closed.
Chuck Riedhammer, Executive Director of the Southwest Regional Recreational Authority otherwise known as Spearhead Trails, announced to the Board that they now have a signed lease agreement for approximately 3,000 acres of land around the St. Paul area to rehab and build a world class off- highway vehicle trail system. This endeavor will be making an investment of $250,000 in Wise County which in turn will provide much needed jobs. Because of the type of trails that are being built, a national TV show called Fishers ATV on the Outdoor Channel has been made aware of this project and will be coming to Wise County in October to do two days of filming of the trail system. With this trail system opening later in the year, it is anticipated within a couple of years this system will be generating $3M of economic impact for Wise County.
One of the things that need to be addressed is the obligation to the land owner to provide safety and security on this trail system. The legislators have made it possible to have Rangers assist, which will help, but their lack of authority in this capacity is limited. Sheriff Oakes has been approached regarding the possibility of utilizing County deputies. Sheriff Oakes is in support of this endeavor and is preparing a budget request for consideration by the Board to meet this need.
Rick Horne, a resident of East Stone Gap, addressed the Board with a problem on the road referred to as his driveway and the renaming of that road. He did not feel that renaming the road was necessary. According to the County ordinance, a road serving three or more homes requires a 911 address. He asked that his property be excluded as one of the three homes since it is only used for storage.
Debbie Dickenson, representing the teachers of Wise County, asked that the Board level fund the School budget to keep teachers from having a cut in pay.
Walter Crouse, a resident of the Hurricane section of Wise, addressed the following:
David Gent and Stacy Carson, residents of Pound, spoke on school consolidation and the building site for Central.
Gail Bryant, speaking for the silent majority, stating that history is being made in Wise County and asked that the Board be people of integrity and do what is right for the County. She went on to address the meaning of integrity and its importance in a person’s life.
Randy Rose spoke regarding the confusing of some individuals on the location of the Central High School site.
There being no further comments, the public hearing was closed at 7:05 PM.
IN RE: FRIENDS OF SOUTHWEST VIRGINIA PRESENTATION
Todd Christensen, Executive Director SWVA Cultural Heritage Foundation, and Jack Hinshelwood, Executive Director of The Crooked Road, addressed the Board on behalf of the Board of Directors, staff and members of the organizations comprising Friends of Southwest Virginia, requesting an annual investment for funding support in the County’s upcoming FY 2012/13 budget in the amount of $10,000. Funds provided by local government partners will be used to sustain the work of The Crooked Road and Round the Mountain as well as marketing efforts at a national and international level.
Heartwood is providing the entire region with a show place unique in the United States and is providing visibility for assets in all of the county’s localities and significant income for artisans, farmers, and musicians.
Brief updates were given on the activities and goals of The Crooked Road and Round the Mountain and the attention both organizations are bringing to this area.
IN RE: DRUGS IN WISE COUNTY
Dr. Sue Cantrell provided a power point presentation on the drug problem in Wise County and the surrounding areas. In Virginia in 2003, the overdoses of prescription drugs began to exceed the combined total of overdoses of cocaine and heroin. She reviewed the different scenarios on how drugs are being misused and the consequences of the abuse. A Prevention Plan was reviewed showing proper disposal of meds, the need to become more knowledgeable of the different drugs and the importance of monitoring the drugs for more control.
IN RE: POUND HIGH SCHOOL BUILDING
Herb Shortt, a resident of Pound, addressed the Board regarding the possibility of turning the former Pound High School into a community center once the building is transferred back to the County. He stated that a seven (7) member Board of Directors has been formed and the process for obtaining a non profit 501c Corporation has been initiated. If obtaining the high school becomes a reality, other organizations have indicated a desire to utilize space in the building.
Supervisor Shortt asked Attorney Mullins to review the process regarding any legal issues that may be involved in making this building a community center.
On another issue, Mr. Shortt stated that the residents of Pound do not get the Board of Supervisors meeting any more. He asked if something could be done to provide this service to the Pound citizens.
A brief recess was taken at 7:45 PM
The meeting reconvened at 8:00 PM
IN RE: COUNTY FY 2012/13 BUDGET PRESENTATION
Finance Administrator David Cox presented a power point presentation on the County’s FY 2012/13 budget. He reviewed the following:
Local Revenues for 2013 --Increased $1.9M
Subtotal State Revenue ---Decreased $404,000
Loan Proceeds -- Increased $694,000
Mr. Cox explained that he took $1,295,138 from the $9M for HS Construction to balance the budget.
The total General Fund Revenue being proposed is $55,860,000, which is an increase of $3.5M.
Revenues (In M$)
1.30 – Increase –Real Estate (Natural Gas)
.50 – Increase – Public Service Corp (Power Plant)
.35 –Increase – Personal Property & Machinery/Tools (Based upon assessment)
(.27)- Decrease – Coal Severance
(.20) Decrease – Sales Tax
.60 – Increase – Loan Proceeds
(.42) –Decrease – Grants (GIS Grant not received)
1.30 –Use of $1.3M from $9M Reserved for Schools (Fund Balance)
.34 –Net of Other Increases
Net Increase in Revenues $3.5M
Budget Highlights – Major Changes
Expenditures (In M$)
2.775 -- Increase in Debt Service – School Projects
(.750) ---Decrease – Operational Funding School System
.692 ---Increase in Regional Jail Funding (Share of inmate population)
.559 ---Increase – Comprehensive Service Act
.119 ---Increase – Social Services (1% VRS & 1% Increase)
.250 ---Increase – IDA Agreement Power Plant
.090 ---Net Increase for VRS and 1% pay increase (County Emp. Only)
.050 ---Increase – Law Clerk Addition per Judge request
(.413)—Decrease in Grant Expenses
.128 ---Other Increases including fuel & net capital increase
Net Increase in Expenditures $3.5M
A chart on the proposed Expenditures – Revenue from all sources was reviewed.
A chart on the proposed Revenues –Local Sources - $38.536M was reviewed
A chart on the Proposed Expenditures by Category was reviewed as follows:
The major item in the budget was the change of educational funding. The following is justification of the $750,000 decrease:
$13,891,600 - Operational Funding FY 2012-- Approved Budget
$13,141,600 --Operational Funding FY 2013-- Proposed Budget
$ 750,000 -- Decrease – Funding Projected to be $5.3M over SOQ Req.
$ 1,159,300 – Debt Service Funding FY 2012-- Approved Budget
$ 3,934,870—Debt Service Funding FY 2013-- Proposed Budget
$ 2,775,570 –Increase
Net increase in School Funding --$2,025,570
Full Power Plant Tax Revenue does not come in until FY 2014
Increased concerns with Coal Severance
Coal Severance makes up $5.75M of Revenue in the Proposed Budget
Option –Use $9M reserved for high schools
Utilizing $1,295,138 in FY 2013 Proposed Budget
Balance will be $7,704,862
$750K would decrease balance to $6,954,862
Coal Severance (12% reduction for FY 2013)
Unforeseen costs on completion of school projects including Central HS location change of $2.5M
Choices will be to utilize $9M or issue debt
Other Projects for County
Continued state Mandates (CSA, LODA, VRS)
Regional Jail Costs
Other costs/unforeseen costs
County’s Credit Rating
Credit rating agencies spoke favorably on holding $9M for debt service & maintaining a healthy unassigned fund balance
A concern was County’s reliance on coal
Praised financial management of County’s resources
Encouraged by Wise County’s structurally balanced budgets
Numbers provided to rating agencies included consolidation savings from Wise County Schools
Regarding the balance of the $9M, Mr. Cox stated that he would like to balance the FY 2013 budget with additional revenue and leave the original $9M in place to make debt services.
Mr. Cox explained that when he and others went to New York for the bond ratings, the County obtained a favorable credit rating based upon holding $9M, a healthy unassigned fund balance and several other factors. Also, they anticipated that there would be savings based upon school consolidation.
Mr. Cox further noted that the proposed budget is based upon cuts from different departments to make it possible to propose the 1% increase for VRS and 1% pay increase for County employees that have not had a raise in several years.
IN RE: CONSENT AGENDA
A motion was made by Ronnie Shortt, seconded by Robby Robbins, to approve the consent agenda with the removal of the following items to be placed under New Business for discussion:
IN RE: MINERAL SEVERANCE LICENSE TAX ORDINANCE AMENDMENT
Set public hearing on June 14, 2012 @ 6:00 PM on a proposed Mineral Severance License Tax Ordinance Amendment
IN RE: COUNTY FY 2012/13 BUDGET
Set public hearing on June 14, 2012 @ 6:00 PM on the proposed County FY 2012/13 Budget
IN RE: REFUND REQUEST
Approved a refund request from the Commissioner of the Revenue in the amount of $2,668.59
IN RE: RESOLUTION APPROVING SIX YEAR PLAN
Adopted the resolution approving the Secondary Six Year Plan for FY 2012/13 thru 2018/19
RESOLUTION # 2012 (Resolution Approving Six Year Plan)
(Said resolution is on file in the County Administrator’s Office)
The motion to approve the consent agenda was unanimously approved.
IN RE: COUNTY AUDIT 2010/11
Supervisor Rivers stated that his problem is not with the audit itself but with the timeliness of the audit. The audit has been late in the past, but he felt that this year it was extremely late. This could cause financial impacts to Wise County on its audit being delayed to this point. As a member of the PSA Board, there were concerns about the funding agencies being able to approve funding without an audit report. This could cause the County to lose funding for some of its projects.
Finance Administrator Cox explained that preparing the audit for 2011 has been a difficult year because of the GASB changes. He further explained that the smaller counties struggle to do the CAFR based upon limited resources. Many counties hire a separate firm to prepare their CAFR outside their staff.
A motion was made by Robby Robbins, seconded by Virginia Meador, to approve the County audit for FY 2010/11 as presented. The motion was unanimously approved.
IN RE: RESOLUTION COAL & GAS ROAD ANNUAL PLAN
A motion was made by Dana Kilgore, seconded by Ronnie Shortt, to table the Resolution approving the Coal & Gas Road Annual Plan for Roads & Bridges. The motion was unanimously approved.
IN RE: E911 ROAD NAME ADDITION
A public hearing was held on April 12, 2012 to receive citizens’ comments on a proposed E911 road name; May Apple Lane located off East Stone Gap Road. There was no opposition to the proposed name.
Attorney Mullins explained that Richard Horne, the resident opposing the naming of this road, is not a resident that will be impacted by the road being named. In his opinion, the road does not quality for a name since the mobile home on his property is used for storage. However, Attorney Mullins noted that the road serves three (3) dwelling units and does qualify for a 911 address according to the County ordinance. Since the residents could not agree on a name, GIS chose May Apple Lane. That is the name that was advertised for the naming of the road.
Supervisor Rivers stated that the road is already named on the GIS System. He understands that the name has already been given to the postal service, and the residents living on the road already have been using this name since November. He asked what the purpose of the Board approving a name when the road already has a name.
Attorney Mullins stated that she has spoken with the parties involved. Usually the names are not assigned or used until they have been through a public hearing and approved by the Board. However, in this particular situation there was an original name given with some objections to that name. A second name was pulled from the list of names because a resident needed a 911 address before they could get power to their residence.
A motion was made by Ronnie Shortt, seconded by Steve Bates, to approve the E-911 road name May Apple Lane as advertised. The motion was unanimously approved.
IN RE: CIP PLAN
Finance Administrator Cox explained that the CIP Plan before the Board is a road map for the next five (5) year from the different departments. He recommended Board approval.
A motion was made by Dana Kilgore, seconded by Steve Bates, to approve the CIP Plan for FY 2013 as presented. The motion was unanimously approved.
IN RE: QUARANTINE ORDINANCE
A public hearing was held on May 10, 2012 to receive citizens’ comments regarding a proposed ordinance prohibiting dogs and cats from running at large June 3, 2012 thru July 28, 2012. There was no opposition to the propose ordinance.
A motion was made by J. H. Rivers, seconded by Virginia Meador, to approve the ordinance prohibiting dogs and cats from running at large from June 3, 2012 thru July 28, 2012. The motion was unanimously approved.
ORDINANCE # 2012 (Quarantine Ordinance)
(Said ordinance is on file in the County Administrator’s Office)
IN RE: BUDGET AMENDMENT EXCEEDING 1%
A public hearing was held on May 10, 2012 to receive citizens’ comments on a proposed amendment exceeding 1% of the County’s FY 2012 budget. There were no comments regarding the proposed amendment.
A motion was made by Ronnie Shortt, seconded by Steve Bates, to approve the budget amendment exceeding 1% of the County’s FY 2012 budget as presented. The motion was unanimously approved.
IN RE: DEED OF EASEMENT – STEPHENS SEWER LINE EXTENSION
A motion was made by J. H. Rivers, seconded by Ronnie Shortt, to approve the Deed of Easement for the Stephens Sewer Line Extension. The motion was unanimously approved.
IN RE: DEED OF EASEMENT – FAIRGROUND PROPERTY
Attorney Mullins explained that she had received a call from Gordon Scott of the PSA requesting the Board of Supervisors to approve a Deed of Easement for egress & ingress on the fairground property. The easement is needed to access the new water tank that PSA is building above the fairground. The PSA is also requesting a drainage easement which Bud Phillips is preparing the needed documents for her review. A plat for recording along with an aerial photo with the easement road drawn in has been provided.
PSA has contacted the VA-KY Fair for permission to access and to coordinate construction so as to not impact the Fair events in that area.
After discussion, a motion was made by Dana Kilgore, seconded by Ronnie Shortt, to approve the Deed of Easement and the Drainage Easement for the Fairground property subject to the County Attorney’s review and approval. The motion was unanimously approved.
IN RE: CNW SECOND SERVICE AGREEMENT
Attorney Mullins asked that the CNW Service Agreement be kept on the agenda to allow Board action in a timely manner. All the participants involved in making comments and/or suggested changes to the CNW Second Service Agreement draft that was provided to each participant several months ago. These changes have been provided to the funding agencies and to date no questions or concerns have been made regarding those proposed changes, and neither has CNW responded to the suggested changes. No action is needed from the Board at this time.
IN RE: TACOMA COMMUNITY CENTER
Supervisor Robbins provided an update on the activities at the Tacoma Community Center and how the center benefits the community in providing a suitable place for different events and family functions. With no young people wanting to serve on the Board of Directors, the Board can’t continue function to do hands on needs. To address this problem, he asked if the County would be willing to assume ownership of the center.
A motion was made by Dana Kilgore, seconded by Steve Bates, that the Board take ownership of the Tacoma Community Center.
There were some comments on several unanswered questions that need to be addressed before any action is taken on this request.
Attorney Mullins noted that she would need to review the Community Center’s deed, by-laws and/or Articles of Incorporation and report back to the Board on her findings.
Dana Kilgore withdrew her motion and Steve Bates withdrew his second.
Ronnie Shortt made a motion to instruct the leadership team to review the possibility of the County assuming ownership of the Tacoma Community Center. Steve Bates seconded the motion. The motion was unanimously approved.
IN RE: BUDGET AMENDMENTS
A motion was made by Dana Kilgore, seconded by Virginia Meador, to approve budget amendments #37 thru #46 as presented. The motion was unanimously approved.
(Said amendments are on file in the County Administrator’s Office)
IN RE: TRANSFER OF BUDGETED MONIES (BUDGET AMENDMENT #45)
Finance Administrator Cox explained that he was requesting to move $30,000 from the Regional Jail funding to the Sheriff’s Department due to increased fuel costs and travel costs. To control the fuel cost, the Sheriff’s Dept. has doubled up on deputies to conserve fuel.
This surplus Regional Jail funding was made possible by the Regional Jail not requiring the 4th quarter payment as there was surplus funds in the escrow account.
A motion was made by Robby Robbins, seconded by Dana Kilgore, to authorize the transfer of budgeted monies (budget amendment #45) as requested. The motion was unanimously approved.
IN RE: REFUND REQUEST (Equitable Production Co)
A motion was made by Ronnie Shortt, seconded by Dana Kilgore, to approve the refund request from the Commissioner of Revenue as follows:
Pittsburgh, PA $391,701.00
The motion was unanimously approved.
IN RE: APPOINTMENT – RADA (Appalachian Community Action & Development Agency)
J. H. Rivers nominated Michael Kilgore to the RADA Board.
Ronnie Shortt made a motion that nomination cease. Steve Bates seconded the motion. The motion was unanimously approved.
Michael Kilgore was appointed by acclamation
IN RE: APPOINTMENT – TOURISM COMMITTEE
It was the consensus of the Board to table the appointment to the Tourism Committee until the June meeting.
IN RE: APPOINTMENT – LONESOME PINE YOUTH SERVICES BOARD
J. H. Rivers nominated Logan Schoolcraft to the Lonesome Pine Youth Services Board.
Virginia Meador made a motion that nominations cease. Robby Robbins seconded the motion. The motion was unanimously approved.
Logan Schoolcraft was appointed by acclamation.
IN RE: APPOINTMENT – IDA
A motion was made by J. H. Rivers, seconded by Dana Kilgore, to table the appointment to the IDA until the June meeting. The motion was unanimously approved.
IN RE: APPOINTMENT – PLANNING COMMISSION
A motion was made by Virginia Meador, seconded by J. H. Rivers, to re-appoint J. Fred Tate to the Planning Commission. The motion was unanimously approved.
The Board took a break at 9:25 PM
The meeting reconvened at 9:30 PM
IN RE: CLOSE SESSION
A motion was made by Ronnie Shortt, seconded by Steve Bates, to go into close session as permitted by the Code of Virginia per the following:
The motion was unanimously approved.
After close session, a motion was made by Ronnie Shortt, seconded by Steve Bates, to reconvene the regular meeting. The motion was unanimously approve.
Secretary Underwood read the certification for close meeting.
A motion was made by Dana Kilgore, seconded by J. H. Rivers, to approve the resolution verifying matters discussed while in close session. The motion was unanimously approved by roll call vote.
RESOLUTION # 2012 ( CLOSE SESSION)
(Said resolution is on file in the County Administrator’s Office)
IN RE: PUBLIC HEARING – COUNTY FY 2012/13 BUDGET
There was some discussion on not having ample time to advertise the proposed budget in a timely manner with the public hearing being set on June 14, 2012.
After reviewing the time schedule for each advertisement, a motion was made by Ronnie Shortt, seconded by J. H. Rivers, to rescind the vote on setting the public hearing for the County FY 2012/13 budget for 6-14-12 @ 6:00 PM as listed under the Consent Agenda. The motion was unanimously approved.
IN RE: SCHOOL BOARD BUDGET
A motion was made by Ronnie Shortt, seconded by Steve Bates, to level fund the School Board budget this year, take the money from the $9M, and make cuts to the School Board budget next year.
Supervisor Robbins voiced his concerns on taking on this debt because of the downturn in the economy, the loss of income for many citizens due to jobs moving away from the area and/or down sizing of companies, and meeting other responsibilities of the County.
Supervisor Meador felt that the Board should listen to their Financial Advisor and take his advice due to the proposed decrease in coal production and the downturn in the economy.
Supervisor Bates stated that the County needs to level fund the school or teachers’ salaries will be cut and families will suffer.
Supervisor Rivers stated that cuts should come from within the School budget to make up the difference instead of the County having to make cuts. He felt the School Board had money in their budget to make up this difference and did not have to cut the teachers salaries to make that happen.
The votes on Supervisor Shortt’s motion to level fund the School Board Budget were as follows:
Aye- Steve Bates Nay- J. H. Rivers
Ronnie Shortt Virginia Meador
Dana Kilgore Robby Robbins
IN RE: PUBLIC HEARING – COUNTY FY 2012/13 BUDGET
With approval being made to level fund the School Board budget, it was noted that a public hearing on the County’s FY 2012/13 budget needed to be set.
A motion was made by Ronnie Shortt, seconded by Dana Kilgore, to set a public hearing on June 14, 2012 @ 6:00 PM to receive citizens’ comments on the County’s FY 2012/13 budget. The motion was unanimously approved.
There were brief comments from Board members.
A motion was made by Dana Kilgore, seconded by Robby Robbins, to adjourn the meeting. The motion was unanimously approved.
ATTEST: WISE COUNTY BOARD OF SUPERVISORS
Shannon C. Scott, Clerk Robert R. Adkins, Chairman