BC 2005 03 14 WORK SESSION - Laserfiche WebLink

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March 14, 2005 (Work Session) Page 104 outlook that Cabarrus County recently received from Moody's Investor Services, she stated it is recommended that the County no longer balance the operating budget with one time revenues such as fund balance. She cautioned that continued use of fund balance in this fashion would most likely result in a downgrade to the County's bond rating. Based on current figures I MS. Dubois stated a 7.0B-cent tax rate increase would be ne~ded in FY 2005-06 to address the following issues: (1) The FY 2005 budget was balanced with one- time revenues to pay for reoccurring expenses totaling $5,229,386.00 (3.83 cents on the tax rate); (2) New expenditure for the annual debt service of $3,658,300.00 on the $50 million school bonds (2.68 cents on the tax rate); and (3) New expenditure for the 18 new law enforcement officers for the temporary jail at an annual cost of $778,301.00 (.57 cents on the tax rate). However, she advised the proposed 7.GB-cent tax rate increase did not include any additional funding for new school operations or capital. As a means of possibly reversing Moody's negative outlook, she stated the County's fund balance policy, which recommends maintaining 15 percent undesignated fund balance, could be revised to include the following: "Fund balance can be used when it exceeds the floor policy for nonrecurring expenditures or one- time capital cost. Once the fund balance reached 20 percent, any excess is transferred to the capital reserve fund for future capital projects." There was a general discussion regarding the sales tax revenue, the method of sales tax distribution and the 2004 revaluation revenues. The Board had dinner at 5:30 p.m. and the meeting resumed at 5:50 p.m. Ordinance Amending Section 46-3, Operation of .Vehicles on Raceways or Drag- Strips, of the Cabarrus County Code of Ordinances John Day, County Manager, proposed an amendment to Section 46-3, Operation of Vehicles on Raceways or Drag-Strips, of the Cabarrus County Code of Ordinances to extend the hour of operation to 1:00 a.m. in the event of bad weather. He explained that races are occasionally delayed at the Concord Motorsports Park due to inclement weather. When that occurs, he stated he calls Board members to get authorization for the Park to extend its operation for one hour in, order to complete the race. The proposed amendment would automatically allow that extension. By consensus, the Board agreed to place the scheduling of "a public hearing for the proposed amendment on the March 21st Agenda as a Consent item. House Health Committee Meeting - House Bill 149 Mr. Day reported he received notification earlier today that the North Carolina House Health Committee is scheduled to hear House Bill 149 on March 17. The proposed legislation introduced by Representative Julia Howard (Davie) would cap county Medicaid responsibility at the current year's level and begin phasing out county participation. Due to scheduling conflicts, Board members were unable to attend the meeting on the 17th. By Services, March 17. consensus, the Board agreed to ask Jim Cook, Director of Social to represent the County at the House Health Committee meeting on Enhanced Budget Proceas with the School System vice Chairman Carruth briefly commented on a recent meeting with school officials to discuss how the annual budget process could be enhanced by improving communication and increasing the public's understanding of the following issues: continuation items, the effect of start-up costs for new schools on the budget, and funding for charter school students. Rowan County's Pretrial Program Mr. Day distributed information regarding the Pretrial Services Program that was implemented by Rowan County in 2000 to help manage its jail population. He explained that Rowan County pays bail bondsman to carry bonds so persons who are arrested _ will not have to go to j ail. Program statistics for the period May 3, 2000, through February 28, 2005, included the following: 1,681 inmates were accepted for the Pretrial Program; Rowan County paid $147,263.00 to bondsman for pretrial bonds; detainees reimbursed $32,598.00 to the program; and Rowan County averaged $218,698.00 in savings per year for medical expenses.