04-02-2009 Budget Work SessionBUDGET WORK SESSION OF THE ISLE OF WIGHT COUNTY BOARD
OF SUPERVISORS HELD THE SECOND DAY OF APRIL IN THE YEAR
TWO THOUSAND AND NINE
PRESENT: Phillip A. Bradshaw, Vice - Chairman
Al Casteen
Stan D. Clark
Thomas J. Wright, III
ABSENT: James B. Brown, Jr.
Also Attending: A. Paul Burton, Interim County Attorney (Arrived at
3:10 p.m.)
W. Douglas Caskey, County Administrator
Patrick J. Small, Assistant County Administrator
Carey Mills Storm, Clerk
In the absence of Chairman Brown, Vice - Chairman Bradshaw called
the budget work session to order at 3:00 p.m.
Gerald H. Gwaltney, Commissioner of the Revenue, reported that there
have been 18 property foreclosures during the first quarter of 2009 with 45
properties currently being maintained in foreclosure inventory, which
represents approximately $68,000 in annual taxes. He advised that
foreclosed properties are selling at 69% of assessment. He advised that real
estate values for single family homes are showing a decline in values as the
sale prices in January 2009 through March 2009 are lower than assessment.
He advised that revenue losses for FY11 associated with International Paper,
Smithfield Packing, ATC Panels and Franklin Equipment Company total
$1.4 million. He advised that estimated revenue gains of $250,000 are
anticipated for FY11 in association with the opening of the SAFCO facility,
the Hampton Inn and the Gwaltney of Smithfield expansion.
Judy C. Wells, Treasurer, advised that discussions are ongoing relative
to the joint purchase by the County and Southampton County of a machine
that identifies the cars of individuals with extremely delinquent taxes. She
further advised that she will be visiting the City of Suffolk with Sheriff
Phelps in order to determine how the machine works and to find out about
any associated costs with its purchase. She advised that her office has issued
568 tax liens to delinquent taxpayers; sold $20,000 in dog tags; issued 484
building and zoning permits; conducted 3,000 transactions on pre -pay for
real estate, which has brought in $427,000; conducted 6,300 transactions on
personal property, which has brought in $300,000; sent 19,825 claims for
delinquent personal property on State income tax; had 14,277 finalized
claims; and, collected $224,000 of State income tax. She advised that the
levy collection rate for 2009 is at 90% and collection on utilities is at 98 %.
County Administrator Caskey briefed the Board with respect to the
proposed FY2009 -10 Budget and the downturn of the economy. He advised
local revenues are down 5% or $2.3 million and State sources have declined
$2.2 million. He further advised that the member jurisdictions of the
Southeastern Public Service Authority are facing an increase in trash disposal
costs of $1.4 million, He advised that the cost of the biennial reassessment
needs to be factored in, as well as increased costs associated with the post
closure of the old County landfill. He stated in preparation of the budget, the
following reductions have been made: Reduction in local contribution to
schools of $1.25 million or 4 %; reduction of local contribution to the Social
Services Department of $193,000 or 20 %; six (6) vacant positions have been
maintained in County administrative offices; part-time and overtime wages
have been reduced; reduced vehicle purchases, equipment, travel and
training, office supplies; motor fuel, advertising, marketing, employee
Christmas party, appreciation gifts, the County Administrator's quarterly
award, uniforms, dues and subscriptions, contingency for the Board's
accounts, the newsletter; and, certain maintenance issues in the Parks and
Recreation Department.
Lies! R. DeVary,.Director of Budget and Finance, was directed by the
Board to make the following changes in the proposed FY2009 -2010 Budget:
Debt Restructuring — Reduce by $1.9 million
Schools: Reduce by $1,000,000
Capital Contingency — Reduce by $100,000
Countywide Drainage Plan f Reduce by $150,000
Skating Rink Reduction in Operating Hours — Reduce by $10,000
Fire & Rescue Operating Contributions — Do not reduce.
Cooperative Extension Office — Do not reduce.
Staff was directed to review the remaining items included in the
Director of Budget and Finance's report entitled "Budgetary Savings for
Consideration" and provide a recommendation back to the Board.
Supervisor Bradshaw requested that Steve Jenkins, the School's
Finance Director, be prepared to advise the Board how the Schools will
incorporate the $1.8 million in its budget, excluding the $1.6 million; but, he
should be prepared to address if the $1.6 million will be included in the
School's budget and, if so, where it will be included and how the Board is to
make appropriations.
The request from Isle of Wight Humane Society for a $5,500 donation
was denied by the Board.
Supervisor Bradshaw directed Mr. Robertson to meet with County
Administrator Caskey and the Director of Budget and Finance regarding
whether or not the funding request from the Health Department for a
2
Homebound Nurse needs to be returned to the Board. Staff was directed to
be prepared to address the dollar impact of that position and how staff
recommends incorporating the funding for this position into the budget.
With respect to the request by Nathan O'Berry relative to a part-time
funding for an Extension Agent, Supervisor Bradshaw and Supervisor
Wright agreed to serve on a committee tasked with working with the
Cooperative Extension Services.
With respect to the proposed Capital Improvements Plan (CIP)
FY2010 -2014, Supervisor Clark moved that the Board adopt the CIP as
amended to include the deferrals of Year One (1) expenditures as noted. The
motion was adopted by a vote of (4 -0) with Supervisors Clark, Casteen,
Bradshaw and Wright voting in favor of the motion: no Supervisors voting
against the motion; and, Chairman Brown absent for the vote.
With respect to the reallocation of certain capital projects, Supervisor
Clark moved to authorize the reallocation of unused capital projects, as noted
in the Director of Budget and Finance's report, in the amount of $822,356.
The motion was adopted by a vote of (4 -0) with Supervisors Clark, Casteen,
Bradshaw and Wright voting in favor of the motion: no Supervisors voting
against the motion; and, Chairman Brown absent for the vote.
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At 4:40 p.m., Supervisor Clark moved that the Board adjourn its budget
work session. The motion was adopted by a vote of (4 -0) with Supervisors
Bradshaw, Clark, Casteen and Wright voting in favor of the motion;
Supervisor Brown absent from the meeting; and, no Supervisors voting
ti against the motion.
Carey Mills Stot'tn, Clerk