Board of Commissioners

Town of Swansboro Board of Commissioners May 17, 2023, Special Meeting Minutes In attendance: Mayor John Davis, Mayor Pro Tem Frank Tursi, Commissioner Pat Turner, Commissioner Larry Philpott, Commissioner Jeffrey Conaway, and Commissioner Harry PJ Pugliese. ********************************** Call to Order The meeting was called to order at 8:00 am. Mayor Davis led the Pledge of Allegiance. The purpose of the meeting was for further discussion of the FY 23/24 Draft Budget. Manager Webb reviewed that she and the Finance Director Johnson had met with each department director in preparation of this draft. The current draft was balanced with $112,261 of the current fiscal year surplus. Funded highlights included:  4% Merit (based on performance evaluations)  New Personnel (FT Fire Captain $68,081, FT Downtown Facilities Supervisor - 66,659, and PT Dock Attendants $9,656)  NCLM Property & Casualty Increased 10.5%  NCLM Workers Comp Decreased 7%  NCLM Group Health Insurance Increased 10%  CIP $123,880  Capital Outlay $132,104 Only one major budget request was unfunded and that was a Maintenance Technician in Public Works for $54,185. It was also acknowledged that the American Rescue Plan funding balance had also been recommended. ARP Funds Manger Webb reviewed the recommended items requested for funding through the ARP Funds, see attachment A. Newly added items since the last review were marked in red. In response to inquires from the Board, staff clarified the following:  Use of ARP funds were not recommended for Sidewalks, funds to support sidewalks were included in the budget.  The unappropriated fund balance was projected to be $2.8 million. Page 1 of 8   The Radios originally requested for the Fire Department was determined unnecessary by the current Fire Chief due to partnerships available through the county and FirstNet. Turnout gear was requested in place of the request for radios. On a motion by Commissioner Turner, seconded by Mayor Pro Tem Tursi, the items requested for funding through ARP Funds were approved unanimously. Overtime Pay VS. Comp Time Fire Chief Randall explained that the payout of overtime is easier to track and prevents payout of substantial amounts of comp time when an employee leave. He further explained how the fire department shift/hours were calculated and how overtime/comp time is earned. Many times, employees are hired at one pay rate but then when the leave their pay rate is higher and is the rate in which comp time is paid out. In response to inquiries from the board, the following details were clarified by staff.  Presently there were approximately 1,377 hours of comp time on the books.  Morale would increase because staff would receive overtime pay in their paycheck, instead of banking time. Currently, firefighters were not able to use the time off they earned due to the department not fully staffed and lack of volunteers.  Transitioning to earning overtime pay instead of comp time could be handled by either leaving the times as they have now then start paying overtime and allow them to burn through the hours or pay out the hours.  The police department was not part of the consideration because they were not earning comp time as much because they were fully staffed. The only time comp was earned for police was due to trips to the county jail that resulted in the officer going over their hours. To cover such situations 4.5 hours per pay period was included in the budget and use of that may or may not occur. The board’s directive was for staff to figure out the total cost to pay out all comp time hours that were existing for both the Fire and Police Department. Consideration for payout instead of earning comp time would be reviewed at the next budget meeting, as well as discuss the process to complete the transition of changing from comp time earing to overtime pay in both departments. Year-end Projections Finance Director Johnson reviewed the following projections as of April 30, 2023. - Fiscal surplus was projected at $422,366.00 Page 2 of 8  - General Fund excess of revenues over expenditures was projected at $437,897.00 - Stormwater Enterprise Fund and Solid Waste Enterprise Fund excess of revenues over expenditures was projected at $0 - Permitting revenues was projected at $102,819 Consideration for increasing the solid waste monthly cost for the citizens was not justified at that time, however, because cost to provide the service could change at any time, a review again in January was recommended. Departmental Budgets Finance Director Johnson shared that the proposed budget included a 10% increase in medical insurance, several salary changes, and up to a 4% merit. The budget did not include a COLA and it was suggested that consideration for that could be reviewed in January. By consensus of the Board, a COLA of 4.4% was to be added to the budget and applied first before providing the 4% merit. The board recessed from 8:57 am to 9:04 am. Finance Director Johnson shared that the budget proposed of $6,006,122 was an increase of 12% from the prior year and was balanced using surplus funds, however the COLA addition and any overtime payout would increase that difference and change the following amounts.  General Fund Expenditures were $5,409,896  Stormwater Enterprise Fund Expenditures were $133,435  Solid Water Enterprise Fund Expenditures were $462,791 Manager Webb reviewed each Departments budget and provided details to explain the increase or decrease, if any, from prior year’s budget as follows:  Governing Body – increase, due to election cost, travel/training for 3 elected officials, Seaside Arts Council Swan statue purchases, elevation of the Sam Bland award  Administration – increase, due to website hosting and agenda manager program cost, training for Municipal & County Administration course (scholarships available/possible)  Finance – increase, training opportunities  Legal – no change Page 3 of 8   Public Buildings – decrease, due to spending changes  Fire – increase, due to new Captain position, water rescue training, recruitment and retention program  Permitting – increase, due to training for Planning- Project Coordinator, training for new Permit Technician  Police – increase, due to salary changes and training and travel  Public Works Streets – increase, due to cost of materials  Powell Bill Streets – no change  Parks & Recreation – decrease, due to Dock separation from budget  Church Street Dock – increase, due to new positions for 1 full time Dock Master & 2 part time dock attendants  Emergency Management – increase, due to Spectrum cost  Festival/Events – increase, due to fireworks and entertainment cost  Non-Departmental – increase, due to internet service upgrade  Stormwater – decrease  Solid Waste – increase, due to GFL cost increase Capital Improvements Plan (CIP) Manager Webb reviewed each departments CIP, here included as attachment B. In response to inquires from the board staff clarified the following details:  The Fire engine and ladder truck need to be replaced within the next 10 years and is estimated at $2.8 million.  Public Works in in need of a Cab tractor to reduce the amount of time spend on Highway 24 maintenance.  NCDOT provides funding around $4,800 for Highway 24 maintenance  The Police Department will have 13 active cars Sidewalks Manager Webb reviewed that the Sidewalk Priorities #1, #2 and #4 were completed. Priority #3 was at a standstill due to property owner not in favor of having a 5-foot easement on both side of the sidewalk. The Town attorney would work to try and resolve the issues. Priority #3 funding was moved to #5&#6 by NCDOT, and construction taken off their work schedule and Priorities #5 and #6 were to be completed within the next 6 to 8 weeks. Page 4 of 8 Priorities #7 – #9 were identified and included sidewalks on Main St Ext. to Old Hammocks Rd connection and gaps along NC24. The remaining funds were $210,000 ($110,000 NCDOT, $100,000 SCIF). The estimated cost for #5 & #6 was estimated to be $50,000 to $60,000 leaving $140,000 - $150,000 in remaining funds. Manager Webb shared that the remining funds could be used on the creation of a Sidewalk Master Plan would be beneficial and would help increase the Town chances of getting grant funds on future priorities. NCDOT estimated cost of a Master Plan to be roughly $150,000. Another option would be to use the funds for engineer design plans for the foot bridge that would be required for completed of priority #3 once it is resolved. Board members agreed to use the funds for #5 & #6, and creation of a Master Plan. Fee Schedule Changes Fire Chief Randall shared that he recommended that the required fire inspections for businesses be at no cost for the year and develop a plan for the future based violations. Such plans could include fees for failures. Additionally, he added cost for hydrant testing. Clerk Fender shared that the fee of $5.00 to provide the public work digital copies of public records on a thumb drive no longer covered the cost of the thumb drive, so the fee was increased. Parks & Recreation Director Stanley shared that she recommends the damage deposit for Town Hall needed increasing to $250 and the reservation duration of the Pug Pavilion needed to have a 4-hour minimum. Thes deposit increase was necessary to adequately cover the cost for damage/clean up. She shared that the deposit is refunded but several times there were rentals that forfeited their damage/cleanup deposit and simply just didn’t clean up. When that occurs it falls on staff, and she felt a higher deposit would hold renters more responsible for cleaning up. Changing the Pug Pavilion to a minimum of a 4-hour rental was more in line with that type of facility. Adjournment On a motion by Mayor Pro Tem Tursi, seconded by Commissioner Turner, and with unanimous approval, the meeting adjourned at 12:36 pm. Page 5 of 8 Attachment A Page 6 of 8 Attachment B Page 7 of 8 Attachment B Page 8 of 8