BC 2011 06 01 Recessed - Laserfiche WebLink

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June 1, 2011 (Recessed Meeting) Page 452 that this small amount could be absorbed easily, since revenues always exceed expenditures. Mrs. Porter expressed appreciation for the funding. Recess of Meeting The Board took a short break at 4:32 p.m. The meeting resumed at 4:53 p.m. Discussion - Cabarrus Health Alliance John Day, County Manager, reviewed data that identified which programs provided by the Health Alliance are mandated or non - mandated and utilize county funding. He noted that in the past, county funding was used to cover shortfalls in program revenue without input or direction from the Board of Commissioners. To ensure that mandated programs are provided at a sufficient level of service and particular programs of interest to the Board of Commissions are funded, a new contract was prepared in conjunction with the program data. He advised that the new contract allows the Commission to designate the funding to specific programs or leave it open ended as has been done in the past. A lengthy discussion ensued. The following issues or concerns were addressed: the importance of continuing the school nurse program and the origin and history of its funding mechanisms, lack of financial support from the local hospital which is extremely profitable, funding for the Health Alliance is based on an arbitrary per capita basis, asking the General Assembly to examine health rules and take legislative action to give the Health Alliance freedom to charge a reasonable fee for health services supported by local government, consolidated services, statutory responsibilities of the Commission, etc. Mr. Day also responded to a variety of questions from the Board. Board members were polled and there was a consensus to specify the funding. After further discussion, the Board agreed to discuss the matter again at its June 6 th work session. (Note: Commissioner Carruth was not available to participate in the consensus due to technical issues.) Fee for Tax Collections on Behalf of Municipalities and Fire Districts John Day, County Manager, presented the following information related to fees for tax collection: Current rate: 1.50 of taxes collected Proposed: For municipalities - a formula based on the cost of collections and the proportion of tax bills, as follows: number of municipal tax bills X 500- of the cost of collections number of total tax bills Where the cost of collections equals the direct cost of the tax collection, division plus 10% for overhead ($870,348 X 1.10 = $957,383). Using Kannapolis as an example: 49,912 Kannapolis tax bills = .2023 $957,382 (tax collections cost) = $478,691 246,683 Total tax bills .5 .2023 X $478,691 = $96,839 (collection fee) For fire districts - no change from current fee. Mr. Day also reported the City of Kannapolis notified the County that they were going to do their own tax collection without giving the County an opportunity to weigh -in on the matter. After receiving complaints from citizens, he said the methodology was revisited and the aforementioned collection formula was reached as a compromise. He further reported the $96,839.00 will be additional revenue for the County since the original collection amount was removed from the budget, and it reduces the amount of loss the County would have incurred otherwise. By consensus, the Board approved the new fee for tax collections on behalf of municipalities as set forth above. (Note: Commissioner Carruth was not available to participate due to technical issues.) FY 2011 -12 Budget Changes Pam Dubois, Deputy County Manager, reviewed the proposed changes to the FY 11 -12 budget as follows: