MINUTES

STATE OF NORTH CAROLINA BOARD OF COMMISSIONERS

COUNTY OF HENDERSON NOVEMBER 17, 1999

The Henderson County Board of Commissioners met for a regular scheduled meeting at 9:00 a.m. in the Commissioners' Conference Room of the Henderson County Office Building.

Those present were: Chairman Grady Hawkins, Vice-Chair Bill Moyer, Commissioner Renee Kumor, Commissioner Don Ward, Commissioner Marilyn Gordon, County Manager David E. Nicholson, Assistant County Manager/Interim County Attorney Angela S. Beeker, and Clerk to the Board Elizabeth W. Corn.

Also present were: Finance Director J. Carey McLelland, Planning Director Karen C. Smith, Public Information Officer Chris S. Coulson, Planner Chris Timberlake, and DSS Director Liston Smith.

CALL TO ORDER/WELCOME

Chairman Hawkins called the meeting to order and welcomed all in attendance.

PLEDGE OF ALLEGIANCE

Commissioner Kumor led the Pledge of Allegiance to the American Flag.

INVOCATION

Rev. Charles Evans, Pinecrest Presbyterian Church, gave the invocation.

DISCUSSION/ADJUSTMENT OF AGENDA

Chairman Hawkins asked that one item be added under Discussion Items as B-1, Update on Financing of the Fletcher School.

Commissioner Gordon requested one item be pulled from the Consent Agenda and placed on the open agenda - Toy Run Parade Proclamation. She would like to comment on it.

Commissioner Moyer asked for some additions to the Discussion Items:

E - Clear Creek Connector

F - Sale of Mud Creek Sewer to Hendersonville

G - Meetings with Municipalities re: Centralized Booking at the New Jail

H - Water Service to Dana Elementary School

I - Proposed County Building for consolidating services

J - Bent Creek letter and deed

CONSENT AGENDA

First of all, Commissioner Gordon was given a chance to comment on the item she pulled from the Consent Agenda:

Toy Run Parade Proclamation

Commissioner Gordon felt it was important to note that the County is proclaiming Saturday, November 20 as Henderson County Toy Run Parade Day which will take place on that day. It is sponsored by the Christian Motorcyclists= Association AThe Master=s Messengers@ and has been going on for a number of years. She felt it was important to recognize something good once in awhile done by the County Commissioners.

Bill and Gale Beal are the coordinators of the event. Last year they provided $7,000 worth of toys and $1,200 in cash to Social Services for distribution as they see fit to children in need. Last year they had 288 participants and they anticipate 500 participants in the parade this year. She congratulated the group on their past and future successes.

Commissioner Moyer requested the November 1, 1999 minutes be pulled from the consent agenda for revisions.

Commissioner Kumor made the motion to approve the amended CONSENT AGENDA. All voted in favor and the motion carried. The CONSENT AGENDA included the following:

Tax Releases (122)

A list of 122 tax release requests was submitted for the Board=s review and approval.

Tax Refunds (5)

A list of 5 tax refund requests was submitted for the Board=s review and approval.

Referral of Proposed Amendment to Special Use Permit

#93-13, Carriage Park, Planned Unit Development

An application was submitted by Mr. Dale Hamlin, General Manager of Carriage Park Development Corporation to amend special use permit #93-13 which the Board of Commissioners granted on October 11, 1993 for a Planned Unit Development (PUD) called Carriage Park. An application to amend a special use permit must be submitted to the Board of Commissioners, which shall refer it to the Planning Board for review and recommendation prior to a public hearing.

The PUD is located off NC Hwy.#191 (Haywood Road). The applicant proposes to amend the special use permit by adding 14.7 acres and 32 additional units to the planned unit development. The property to be added to the PUD is shown as portions of Sections 7, 9, and 26 on the master plan just outside of the PUD boundary to the west of NC Hwy.#191 and to the left of the entrance to the PUD. The applicant also proposes to remove condition 3e from the order granting special use permit amendment #93-13-A1, which was approved in November of 1994.

Staff recommended the Board of Commissioners refer the application to the Planning Board for review and recommendation back to the Commissioners.

Tax Collector=s Report

Terry F. Lyda, Tax Collector for Henderson County, provided the Tax Collector=s Report as of November 8, 1999.

Settlement of Lawsuit

Henderson County and the Henderson County Sheriff=s Office have been defending the below captioned lawsuit:

Michael Williams vs. Henderson County Sheriff=s

Department; Henderson County; Brad Osteen; Greg Young;

Blue Ridge Narcotics Task Force (Henderson County File

No. 98-CVS-1691)

During mediation a tentative settlement was reached wherein the North Carolina Association of County Commissioners= Liability and Property Insurance Pool Fund paid Mr. Williams the sum of $3,400 in settlement of all of his claims. Staff reported to the Board that this settlement was finalized on October 25, 1999.

NCGS 143-318.11(a)(3) requires that the settlement be publicly reported and entered in the Board=s minutes as soon as possible within a reasonable time after the settlement is concluded. Therefore, the Board was requested to approve this settlement with its consent agenda and enter such settlement in the minutes of this Board meeting.

Plat Review Officer Resolution

NCGS 47-30.2 requires that all persons appointed as plat review officers be so appointed by resolution and that the resolution be recorded in the Office of the Register of Deeds. Plat review officers are charged with the responsibility of ensuring that all plats that are to be recorded comply with the plat requirements set out in the General Statutes. On September 17, 1997 the Board first adopted a resolution appointing certain named persons as plat review officers in accordance with NCGS 47-30.2. The Resolution adopted on September 17, 1997, also sets out certain procedures that all plat review officers must comply with. Copies of that resolution and an excerpt from NCGS 47-30.2 were distributed for the Board=s review. The Board has from time to time updated its list of appointed plat review officers.

The Board was asked to again consider updating the list of those persons appointed as plat review officers. The Planning Director recommended that Jake Gilmer be appointed as a plat review officer and added to the Resolution. A proposed resolution had been prepared and was included for the Board=s consideration in order to accomplish this update. This proposed resolution restates all of those persons currently appointed as plat review officers.

Staff recommended that the Board adopt the proposed Resolution in order to provide the Henderson County Register of Deeds with an updated list of review officers authorized to approve plats for recordation.

NOMINATIONS

Chairman Hawkins reminded the Board of the following vacancies and opened the floor to nominations:

1. Hendersonville City Zoning Board of Adjustment - 1 vac.

(Alternate) There were no nominations at this time so this item was rolled to the next meeting.

2. Nursing/Adult Care Home Community Advisory Committee - 5 vac.

Chairman Hawkins made the motion to appoint the following three nominations from a previous meeting:

Claire Boo as a reappointment

Aubrey Carruth as a reappointment

Sara E. Jones as a new appointment

All voted in favor and the motion carried. Both position #16 and #21 are vacant at this time. We currently have no appointment applications for this committee.

3. Travel & Tourism Committee - name Chairman

Commissioner Gordon stated that the Chamber of Commerce had reappointed Jim Crafton, completing the roster for the Travel & Tourism Committee for the coming year. She nominated Jim Crafton for Chairman of the Travel & Tourism Committee. John Shiery had indicated that he did not wish to continue as Chairman. Commissioner Ward moved that nominations be closed. Chairman Hawkins made the motion to suspend the rules and appoint Jim Crafton as Chairman. All voted in favor and the motion carried.

There was a question raised whether the Chamber of Commerce nominee had voting rights. It was the opinion of our Interim County Attorney that Mr. Crafton has full voting rights even as an ex-officio member(by virtue of his position).

4. Downtown Hendersonville, Inc. - 1 vac.

Commissioner Kumor nominated Annette Owens for reappointment. Chairman Hawkins made the motion to suspend the rules and appoint Ms. Owens. All voted in favor and the motion carried.

5. Apple Country Greenways Steering Committee - new Committee

Chairman Hawkins supplied a copy of a letter he had sent to the Mayors requesting their input on this committee and the following one.

Following some discussion, Commissioner Moyer asked that nominations be accepted at this meeting.

Commissioner Moyer nominated Dennis Honnold and Ken Weitzen. Chairman Hawkins nominated Bill Farrell. Commissioner Ward nominated George Cagle and Alan L. Baker. A vote will be taken at the next meeting as well as other nominations may be made at that time.

According to an email received from Mike Egan, the cities have approved and signed the interlocal agreement and have made their appointments.

6. Transportation Advisory Committee - new Committee

No nominations were made at this time so this item was rolled to the next meeting.

HENDERSON COUNTY COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR FISCAL YEAR ENDED JUNE 30, 1999

Carey McLelland presented to the Board the Comprehensive Annual Financial Report (CAFR). The Auditors have prepared an executive summary of the audit results for the Board. He commended Crisp Hughes Evans LLP for conducting themselves in such a professional manner and planning well. They communicated well to staff the progress of the audit. Mr. McLelland stated that you are usually very apprehensive when you contract with a new audit firm but they have been very pleased with Crisp Hughes Evans LLP this year. He also stated that since he has been with Henderson County, this is the earliest that we have ever received an audit report. The number that he was most pleased with in this report is the General Fund Balance available for Appropriation which increased to 9.9%. The Local Government Commission recommends 8%. This is a significant stride for Henderson County after several years of no growth. He also stated that there are no compliance findings in the report this year. This report indicates a stronger financial position in the County. The report will be submitted to GFOA for a Certificate of Achievement Program.

Brian Broom, Senior Audit Manager, reviewed the executive summary report with the Board, stating that the fund balance available for appropriation is approximately $5.9 million (9.9%). He reviewed the Management Letter and stated that this is a good, clean report. A compliance audit was performed and no instances of non-compliance or material weaknesses in controls were found. The most significant change in the CAFR from last year to this year relates to the Hospital because the Hospital was incorporated, becoming a legally separate entity. It is no longer considered part of the county but due to it=s relationship it is still included within the county=s financial statements. Henderson County=s collection rate is in line with the state average.

Commissioner Kumor stated that this report will be placed in the Library for public review.

Commissioner Moyer stated that having a report this clean and well done is extremely helpful to the County when we do public and private financings.

DSS STAFFING - MEDICAID GROWTH

Liston Smith requested the creation of three Income Maintenance Caseworker II positions (Grade 63/Step l) to handle the rising caseload in Medicaid. The request was based on the following factors:

C 72% of family/child assistance is Medicaid service

C 87% of the 72% are working parents not on Awelfare@

C Increase of 1,229 families since 1996

C Conservative projected growth of 411 additional families

in the next 6-12 months

Currently 4,961 children ages 0-5 reside in Henderson County, 2,258 or 46% are eligible for Medicaid or NC Choice coverage. Of those 2,258, 2,081 (92%) are receiving assistance. The problem comes with the children ages 5-18 receiving assistance. Liston reviewed several charts with the Board but some were more current than others.

The three new personnel would cost the county $23,055 for the next six months (actual money including state and federal = $46,000) with a county equipment cost of $9,210. The 12 month county cost (next fiscal year) would be $46,109. The next six months will be covered from lapsed salary costs in the DSS budget. Some employees will likely be moved to help make room for three additional personnel.

Chairman Hawkins stated that from the picture painted here, particularly going into the next session of the General Assembly, demands that this Board have some correspondence with our State Legislators and advise them of our funding situation as these unfunded mandates keep coming down to the counties.

Chairman Hawkins also asked about the approx. $100,000 savings the county has in the Work First Program (maintenance of effort). Liston Smith stated that those savings were put into the restart of the emergency assistance program, contracting with Western Carolina Community Action to provide emergency assistance.

Following much discussion, Commissioner Kumor made the motion to approve hiring three additional employees as requested by DSS.

Chairman Hawkins explained that the total monies, county, state, and federal that are going to provide health services in Henderson County is almost as much as the entire County budget.

All voted in favor and the motion carried.

UPDATE ON FINANCING OF FLETCHER ELEMENTARY SCHOOL

Chairman Hawkins had distributed a hand-out to the Board yesterday which he reviewed. It was a request from Chairman Bazzle (Board of Public Education) asking the Board to take a look and give staff direction on the financing for the Fletcher School.

Chairman Bazzle thanked the Board for the tremendous efforts being made regarding the school facility needs. He stated that we are on target. The site work has been finished, they are working on erosion control. The tentative plan was to put the bids out on the Fletcher School in December with them being awarded in January and construction to begin in February of 2000 with a target completion date of prior to school opening in August of 2001. He requested formal approval of the funding package for Fletcher Elementary School.

David Nicholson discussed financing, installment financing vs. certificates of participation (COPS). He recommended installment financing - 15 years. There was very much discussion.

Motions were made, withdrawn, and rephrased with continued discussions. Chairman Hawkins made the motion to direct the County Manager to proceed with a COPS financing package for 20 years for Fletcher Elementary School. A vote was taken and the motion passed unanimously.

Chairman Hawkins explained to Chairman Bazzle that Henderson County has established a non-profit corporation in setting up to do a COPS for the Jail. Having already done this, hopefully the COPS for the school will happen quicker. The remainder of the package for the rest of the schools will be reviewed by the joint facilities committee to refer back to both boards.

Commissioner Moyer made the motion that for planning purposes and determining the amount of money that will be available for school construction, to do the plan on a 20 year financing basis so that we will know in each year the money that will be available, the debt service and the school board and the joint facilities committee can plan to those dates with a degree of certainty as to what will be available in those time frames.

Chairman Hawkins called a brief recess to change videotapes.

Discussion continued. Chairman Hawkins asked Commissioner Moyer to restate his motion. Commissioner Moyer moved that with respect to financing of improvements to school facilities, that the Board adopt the plan which calls for financing on a 20 year basis which will provide and indicate the amount of funds available for school construction over the foreseeable future and that the plan be available to the schools and the joint facilities board for their planning purposes. All voted in favor and the motion carried.

INFORMAL PUBLIC COMMENTS

There were none.

UPDATE ON HISTORIC COURTHOUSE PROJECT

Commissioners Marilyn Gordon and Renee Kumor have been working with a committee to define the future uses of the Historic Courthouse on Main Street. Mr. Ron Morgan has been assisting them in this effort.

Commissioner Gordon discussed some of the common requirements of the options for use of the courthouse:

C Staffing - paid and/or volunteer

C Advisory Committee with official status

C Identification of properties to be included and

used for each

C Time-line for project as it relates to other facility

changes

C Funding requirements

1. Estimated Budget

2. Time Frame for Funding

3. Sources for Funding

Overview of Options for Implementation of Historic Courthouse Project - 2 options:

1. Create Non-Profit Entity

2. Public/Private Partnership

Commissioner Gordon stated that the committee has been working on the second option of creating a public/private partnership and introduced Mr. Morgan to briefly discuss that option. His company is Urban Ventures. He has been extensively involved in the rehabilitation of downtown Greenville, S.C. He is currently working on a project in Morganton, N.C.

Ron Morgan explained that he is an Urbanist and works exclusively on downtown projects. He spoke of the three construction projects he has underway currently which are all within one block of the courthouse square:

C Greenville, S.C. - a large $6 million condominium/

residential conversion of an old Church

C Shelby, N.C. - finishing up a tremendous rehabilitation

of a Belks building

C Morganton, N.C. - is in the beginning stages of doing

a City Hall partnership and 65 apartments and a restaurant

in an old textile mill

He has worked on these types of projects for the past 15 years. It is a very creative way to save old buildings and to improve downtowns.

Currently he is doing a City Hall in Morganton. The State of NC increased their historic tax credit from 5% to 20%. If you add that to the 20% Federal credit you have a 40% tax credit that is a direct tax credit for every dollar that is spent within the shell of a National Register Building or building within a historic district. There are restrictions on what percentage of the building can be used for public uses - 35%. In Morganton they are building the City Hall on a turn key basis and passing the tax credit back to the City and the City can purchase the facility after 5 years. They sell the tax credits like securities on the market. A company or bank can then purchase the securities, produce case, which lowers the cost of the project. He stated that it sounds simple but is immensely complex.

Mr. Morgan stated that his company is committed to the notion of smart growth/livable cities and the key to that is mixed use development. He has looked at several buildings in the downtown Hendersonville area. He stated that he would be happy to come back at a later date and give a more full-blown presentation.

Commissioner Kumor explained that when the committee began the courthouse planning, Mayor Niehoff was included and attended a number of the meetings. He has been a party to the courthouse initiative. It was established that the timeline would be anywhere from 12 months to 24 months.

Chairman Hawkins stated that the Board will take a look at the two options listed for the project.

WCCA UPDATE

Chairman Hawkins stated that this will be deferred to a future meeting.

TASK FORCE ON MENTAL HEALTH NEEDS FOR CHILDREN

The Task Force on Mental Health Needs for Children had requested time on this agenda to present their report to the Board. Commissioner Kumor, who has been working with the group, made the presentation of the lengthy report. The Board had previously been provided to the Board for review.

Commissioner Kumor reminded the Board that in January the Board had asked the Department of Social Services to look at some issues with regard to mental health services for children in custody of the Department of Social Services. The Social Services Board suggested that they team up with Trend Mental Health to co-chair this task force. The Commissioners consented to that partnership. They asked for a Commissioner to serve on the task force and Commissioner Kumor was assigned as the Board=s representative.

Commissioner Kumor stated that the report has been completed, the task that they were asked to complete and to come back to the Board with recommendations. The goal statement for this group was to address the challenges and recommend solutions that ensure children in Henderson County receive needed mental health services.

Commissioner Kumor read the six recommendations as follows:

#1 The Task Force recommends study of group home service options for moderate to high-risk children residing in Henderson County; exploring costs of care, eligibility criteria for placement, utilization and potential collaborative approaches to effective and efficient group home service by Youth Programs, Office of Juvenile Justice, Park Ridge, TREND, Social Services, Professional Parenting, Eliada Homes, Bringing it All Back Home, Omni and others.

#2 The Task Force recommends study and implementation of a formal collaborative program, co-administered by TREND, Social Services, and the Office of Juvenile Justice, to work together for the benefit of children who receive high-risk services and out-of-home placement services from these agencies.

#3 The Task Force recommends the Board of Social Services and the TREND Board establish one joint subcommittee responsible to both boards to hear, resolve, or advocate for the resolution of quality of service issues to moderate/high-risk children served by both agencies.

#4 The Task Force recommends study of respite care options for emotionally disturbed children living in Henderson County. Issues such as the types of respite care to be provided and funding sources for respite care should be explored.

#5 The Task Force recommends the development of a comprehensive children=s services database specifically for Henderson County. This database should in turn be the primary tool utilized by a centralized information and referral system. This system would be partially staffed by volunteers and available 24 hours/day, 7 days/week.

#6 The Task Force recommends the establishment of a work group to include the public schools, TREND, Department of Public Health, medical providers, and other interested community partners. This group would work to resolve barriers to the establishment of school based mental health services in Henderson County=s four middle schools.

Department of Social Services and TREND have committed to work together to see that money is used more wisely for mental health needs.

Commissioner Moyer stated that recommendation #6 is the one that he has the most trouble with. Recommendation #6 draws a conclusion that a top priority is school based mental health services and he thinks that should be studied by AStrategic Planning for Children@ or somebody else to see whether that is the top priority. He hopes this will be studied in a broader context to see what the middle school children need and what is the best thing that should be offered and not start from the conclusion that this is the thing that should be done. Six months ago school nurses is the thing that should be done and now we=re onto mental health. Commissioner Moyer wanted to go on record stating that unless this was studied with respect to how it fits in with other children=s issues, he would have a very difficult time supporting this as written. To study it is certainly something that should be done.

Chairman Hawkins stated some concerns, particularly with TREND as he has not seen their resolution.

Following much discussion, Commissioner Kumor requested a letter to the Chairman of the Trend Board and the Department of Social Services Board that the Commissioners have read the report and that except for recommendation #3, which he suggests that they be told to begin with immediately, that this is a good solution for some of the needs of children.

Chairman Hawkins stated that one of the agencies involved was the Community Child Protection Team. Dottie Effinger is a member of that team and was present. He asked her to come forward and told her that he had not seen the resolution from the Board. Ms. Effinger reminded the Board that she started this three years ago when she addressed the Board about the need for children to access services. Nothing happened.

Dottie Effinger - AIn the meantime a lawsuit has been filed, many lawsuits which are still in federal courts. A year ago I came back and I said if it hadn=t been for the help of our legislators we=d still be nowhere, cause we didn=t get any help from this Board. At that point, Commissioner Kumor, you said let=s meet with the departments involved. Let=s get in their faces and tell them what we expect. O.K., you also in your comments asked that we find out what community standards were for mental health services for children and the charge to first CCPT Board or the Team and then we found out that CCPT could not do it because DSS Board was charged with that responsibility but the thing I=m concerned about is the only children really that are affected by what I=m hearing and I have not certainly been privy to the whole report because we were told at the CCPT Team meeting that we could not see the report until it had been brought before the Commissioners. But, what I heard this morning was there was nothing about access and we talked initially about access for mental health services for all children and we have some 15,000 children in this county. What about those that are under private pay? This was not to have been a study of just those children in DSS custody as I understand it.@

Commissioner Kumor - AExcuse me@

Dottie Effinger - AYes mam@

Commissioner Kumor - AThe initial letter sent by Mr. Eklund to Chairman Blazey says I=m writing on behalf of the County Commissioners concerning the study of our community=s children at risk. As you are aware, Henderson County has addressed many children=s issues. The Board of Commissioners has discussed the need to evaluate the access standards and service delivery to children at risk. During the past year the Commissioners have been approached about children not receiving mental health care through the medicaid program. We understand that some of these children are in custody of the Department of Social Services. Many of these children have severe mental and physical disabilities and need access to services provided through governmental agencies. The Commissioners have requested that the Board of Social Services consider establishing a task force for studying these important children at risk issues. We would also like to suggest that you involve the Community Child Protection Team. I believe that Barbara King was on our task force. Is she not on the Child Protection Team?@

Dottie Effinger - AYes, and also Grace Poli who is now Vice-Chair of the Community Child Protection Team.@

Commissioner Kumor - ASo you had representation but to tell you that was what the Board of Commissioners sent to the task force and Mr. Chairman, I have to wonder why we are going to debate the report in front of this, as a part of this discussion now. If you want to debate it, why don=t we have a workshop and we=ll invite the whole task force to talk about what we did and why we did it and make sure that all the issues that you wanted addressed were considered and that was why you have a whole body of appendix information because, I mean, Dottie I really don=t understand people were there from your task force and I don=t understand why they told you that you couldn=t see the document.@

Commissioner Kumor - AThis task force had a really narrow charge. If we want to really get into children=s issues, you and I both know that we=re ready to do it. I don=t know that this Board of Commissioners is ready but we are ready to put before this Board all of the issues that involve children in this community and they go from 0 - 18 and go from issues of education to health issues to issues of protection and whenever you guys are ready, I=m ready to start the study but it goes a lot further.@

Dottie Effinger - ACommission Kumor, may I ask you then can we go back to the original concept that we discussed three years ago that was in your initial comments that were not apparently transmitted to the DSS Board?@

Commissioner Kumor - AAll I can tell you is what this Board had to work with was the charge they were given. If you think that we have to do something else, I think the Chairman would entertain a specific letter from you that tells him what needs, what more needs to be done but right now I think the committee in this report looked at what it was charged to do and that=s all I can tell you.@

Dottie Effinger - ACommissioner Kumor, let me ask you a question - why were the children that are low risk not considered. As I am hearing this we are talking about moderate to high risk children only. Why didn=t we include the other children who might have emergency needs for counseling, who might have a short term counseling period. Those children were not considered.@

Commissioner Kumor - AWell, because during the process there was a proposal before the Commissioners to deal with some of those mental health needs with regard to the grant and the school health nurses. When that process, when that grant was taken off the table then we realized that was a group of children and a level of risk we were not, we had not looked at because we thought they were already covered. When the Commissioners took that option off the table was about the time we had finished the work we had done.@

It was the consensus of the Board that we were debating a report that most of the people haven=t seen yet. Copies should be made and ready for distribution to the public. Then the Board should set a session to get input, Board comments, etc. Commissioner Moyer recommended that a workshop be set with the DSS Board, the TREND Board and the Community Child Protection Team Board after further review of this report as well as any other groups affected by this so that they can have input.

PUBLIC HEARING- Proposed Amendments to section 200-69 and section 200-70 of the Henderson County Zoning Ordinance (Amendment #TX-05-99)

Chairman Hawkins made the motion for the Board to go into Public Hearing. All voted in favor and the motion carried.

Karen Smith reminded the Board that they had scheduled for this date a public hearing on proposed amendments to the Henderson County Zoning Ordinance. The amendments consist of changes to section 200-69, Powers and Duties of the Zoning Board of Adjustment, and section 200-70, Powers and Duties of the Board of County Commissioners, that would allow the Board of Adjustment to review Special Use Permits if there is a potential conflict in the Board of Commissioners reviewing such permits. The amendments were originally included in the draft set of amendments for the proposed Open Use District (Safety Net Zoning) currently under review by the Planning Board.

In October of 1999, the Planning Board was anticipating receipt of an application from Pardee Hospital requesting an amendment to a Special Use Permit it was granted in 1997 by the Board of Commissioners for property at Blue Ridge Community College. In the time since the original permit was approved, the County has become the owner of the property that is the subject of the permit. The Interim County Attorney advised that this could present a conflict for the Board of Commissioners, therefore Staff proposed that the Planning Board make a recommendation on the particular amendments in the Open Use District draft related to the Board of Adjustment reviewing Special Use Permits. The Planning Board considered these amendments at its special called meeting on October 26, 1999, and voted unanimously (6-0) to send the Board of Commissioners a favorable recommendation on them.

In accordance with section 200-76 of the Henderson County Zoning Ordinance and State law, a notice of the public hearing was published in the November 5, 1999 edition of the Times-News. A second notice was published in the Times-News on November 12, 1999.

Public Input

There was none.

Chairman Hawkins asked Ms. Skerrett how other counties deal with this. Do they have something similar to what we=re looking at?

Karen did a quick call around:

C Buncombe County doesn=t have any special use permits,

everything is conditional and is reviewed by the Board

of Adjustment so it is not an issue there.

C City of Asheville - she did not get a call back on.

C City of Hendersonville - it has not been an issue. It

is not addressed in their zoning ordinance either way.

Opinion of the Interim County Attorney:

AIt is my opinion that the Board of Commissioners may not hear and decide Pardee Hospital=s application for an amendment to the Special Use Permit (Application #SP-46-96(A1)because (1) the Board has a direct financial interest in the outcome of the proceeding; and (2) the Due Process Rights of Pardee Hospital would be violated.@

Ms. Beeker - AThe Zoning Board of Adjustment and the Board of Commissioners are the only two bodies that could hear a special use or conditional use permit. You have concurrent jurisdiction. It=s up to your ordinance to distinguish who has jurisdiction under what circumstances, so right now really legally a conditional use permit and a special use permit legally are the same thing. It=s just that this Board, years ago when they enacted the zoning ordinance, decided that there were certain uses they wanted to review and then certain uses they would allow the Zoning Board of Adjustment to review and distinguished between the two as a special use and a conditional use. They work the same way so, does that answer your question?@

Chairman Hawkins stated that the Board would have to determine that first of all the constitutional rights of due process would not be afforded if they heard it and then act on Ms. Skerrett=s recommendation and send it over to the Zoning Board of Adjustment. That is a determination that would occur first with the Board of Commissioners whether or not they were going to send it over to the Zoning Board of Adjustment anyway.

Ms. Skerrett cited case law to back her opinion.

It was the consensus of the Board to delete the phrase Aupon the recommendation of the County Attorney@ from both sections. There was then discussion of Apersonal bias@.

Commissioner Kumor made the motion for the Board to go out of Public Hearing. All voted in favor and the motion carried.

No action was taken. Chairman Hawkins asked that this item be put back on the agenda for the December meeting.

REFERRAL OF AMENDMENT TO SPECIAL USE PERMIT FOR MARGARET R.

PARDEE HOSPITAL [Application #SP-46-96(A1)]

Mr. Frank J. Aaron, Jr., Chief Executive Officer of Margaret R. Pardee Hospital, has submitted an application to amend Special Use Permit #SP-46-96 which was issued by the Board of Commissioners on June 2, 1997. Special Use Permit #SP-46-96 authorized the construction of a nursing home and an inpatient hospice facility on a 10.5 acre site located adjacent to Blue Ridge Community College. The site is in an O & I (Office and Institutional) zoning district which requires that hospitals, nursing homes and other extended care facilities obtain a Special Use Permit from the Board of Commissioners.

The current application [#SP-46-96(A-1)] proposes to add an adult daycare facility to the 10.5 acre site and therefore constitutes an amendment to the existing Special Use Permit. Section 200-56 of the Henderson County Zoning Ordinance requires that an application for a Special Use Permit be submitted to the Board of Commissioners, which shall refer it to the Planning Board for review and recommendations prior to a public hearing.

Ordinarily, the Board of Commissioners is the approval authority for Special Use Permits. However, an amendment to the Zoning Ordinance is pending before the Board of Commissioners that would allow the Commissioners to delegate approval authority for Special Use Permits to the Board of Adjustment if there is a potential conflict in the Board of Commissioners reviewing such permits. If the Board of Commissioners approves the amendment, which was scheduled for a public hearing on November 17, 1999, it may want to consider sending the application for Special Use Permit to the Board of Adjustment for approval. The Planning Board would still review the Special Use Permit application; however, it would forward its recommendations to the Board of Adjustment.

Board action to refer the Special Use Permit to the Planning Board for review and recommendations would be appropriate. In the event that the above-referenced Zoning Ordinance amendment is adopted, it would also be appropriate for the Board of Commissioners to consult with the Interim County Attorney regarding whether to refer the Special Use Permit application to the Board of Adjustment.

Following discussion, it was the consensus of the Board of Commissioners to refer this item to the Planning Board.

CLOSED SESSION

Commissioner Kumor made the motion for the Board to go into Closed Session as allowed pursuant to NCGS 143-318.11 for the following reasons:

1. (a)(4) To discuss matters relating to the location or expansion of industries or other

businesses in the area served by the public body.

2. (a)(5) To establish, or to instruct the public body=s staff or negotiating agents concerning the position to be taken by or on behalf of the public body in negotiating (1) the price and other material terms of a contract or proposed contract for the acquisition of real property by purchase, option, exchange or lease.

3. (a)(6) To consider the qualifications, competence, performance, character, fitness, conditions of appointment, or conditions of initial employment of an individual public officer or employee or prospective public officer or employee; or to hear or investigate a complaint, charge, or grievance by or against an individual public officer or employee.

All voted in favor and the motion carried.

Commissioner Kumor made the motion for the Board to go out of Closed Session. All voted in favor and the motion carrried.

EMPLOYEE HEALTH INSURANCE

Chairman Hawkins announced that Commissioner Ward had to leave during break and will be unable to return for the rest of the meeting.

David Nicholson informed the Board that Staff had been meeting with representatives from Marsh, USA, Inc. concerning our employee health insurance. Marsh is the administrator for the insurance pools of the North Carolina Association of County Commissioners. Henderson County is currently a member of two of the NCACC insurance pools - Workers Compensation and Building/Automobile and General Liability.

Staff recommended that Henderson County join the employee health insurance pool operated by the Association. This pool joins the forces of the Association, Marsh and Blue Cross and Blue Shield of North Carolina. The roles of these organizations are shown on Attachment A. The pool serves 46 counties and 16 other related agencies (Attachment B).

The program is through BSBSNC=s Preferred Provider Organization. The plan that staff proposed is their PPO Select Copay 4. The Board reviewed a summary of the benefits of this plan (Attachment C). Two of the highlights of the plan include copays for doctor visits and for a prescription card. The County would also offer an Employee/Spouse Certificate for the first time at a reduced cost from Family Coverage.

Staff also provided charts containing the proposed new rates and annual costs (Attachment D). Because of the savings associated with the pool and a PPO, we would be able to reduce the County=s employee contribution by $150 annually or by 4.8%. This amounts to a total annual savings for the County of $88,050 (The Board may wish to continue to fund the program at the same level in order to develop a fund balance to level out future increases.)

Mr. Nicholson requested that the Board approve this program for a period of 18 months. This would allow us to realign our future insurance quotes with the budget planning time frame.

Following discussion, Chairman Hawkins made the motion to approve the recommended program for an 18 month period. All voted in favor and the motion carried.

Henderson County has had the same health insurance carrier for 20 years. PPO = Preferred Provider Organization. The new insurance will pay for routine physicals. It will also pay much better for prenatal care.

BRADFORD TERRACE IMPROVEMENT GUARANTEES

Karen reminded the Board that on January 20, 1999, the Board of Commissioners approved the posting of a letter of credit for an improvement guarantee for Bradford Terrace subdivision, as allowed by section 170-39 of the Land Development Ordinance. The agreement that related to the improvement guarantee required that the road improvements be completed by November 11, 1999. Chris Timberlake, Planning Department employee, has informed Karen that as of November 10, the road work was completed. He inspected the roads and has confirmed that the improvements were finished.

Mrs. Ruth Hyder, the applicant, requested full release of the letter of credit in the amount of $16,617.50 that was posted to secure the County=s interest in the completion of the road improvements.

Mrs. Hyder was in attendance, available to answer questions.

Commissioner Kumor made the motion to release the letter of credit, based on the fact that the improvements are completed. The Board also apologized to Mrs. Hyder for the lateness in getting to this issue on the agenda. All voted in favor and the motion carried.

UPDATE ON PENDING ISSUES

Broadcast of Commission Meetings

David explained that we had had several video production problems during the last couple of Commission meetings. Staff has put some steps in place to make sure that those type of things don=t happen again, to the best of our ability.

He updated the Board on some enhancements that staff has been working on regarding Channel #56, the first being a character generator. We will be working with WHKP on a character generator that will run schedules of government meetings. This is limited now to government agencies and meetings.

Staff has also sent letters out to the School Board and to the municipalities offering to let them use the Commissioners= Meeting room for meetings so that they may be taped and aired. We have received responses back from almost everyone with Athank you but no thank you@. Maybe some time later they will change their mind and decide to air some of their meetings. We are getting such a positive response back from airing the Commissioner Meetings. Some of the municipalities stated that for some special meeting they might choose to use our facility.

Mr. Nicholson stated that we need to get some additional programming on Channel #56. He mentioned that the Board might want to consider taping special called meetings/workshops for airing in the future. There were some mixed feelings. Sound may be a problem for us. We may need some additional equipment installed.

Detention Center/Beam Construction

David Nicholson had been requested to update the Board concerning Beam Construction Company. The School Board has had some issues that deal with Beam Construction at Marlow Elementary School.

When Beam Construction Company was the low bid contractor for the Detention Center, David immediately called David Jones regarding the issues with Beam Construction. Most of the items of concern were small punch list items with the exception of the tile and some pavers out front. Mr. Jones stated that Beam Construction was working with them very professionally, trying to resolve the issues. Some of the flooring problem was due to the manufacturer. Overall, they were very pleased with the quality of construction that Beam did at Marlow Elementary School. They had no problem recommending Beam Construction Company.

To check further, David Nicholson called Superintendent Burnham. Superintendent Burnham indicated that they were holding final payment and holding retainage until they got the issue resolved. This is an appropriate action. They will apply a $250 delay penalty to their contract, this too is appropriate. Dr. Burnham indicated that Beam was one of the best Contractors he has ever dealt with.

Beam Construction Company was the lowest responsible bidder.

Financing/Detention Center

Mr. Nicholson had a conference call today at 12:30 with our underwriters and the Local Government Commission about the COPS issue. The COPS issue was priced today on the Detention Center. The Discount rate was raised by 1/4 point. This morning the Consumer Price Index was projected to be 1/10 higher but ended up being 2/10 higher. Mr. Nicholson was concerned that all this would affect our rate. He was pleased to announce that it did not affect the rates. Henderson County=s paper has always done well on the market. All of our certificates have now sold.

The 19 year bond was bought as a term bond by an out-of-state bank, not sure which one at this point in time, and bought it up front. It was off the table very quickly.

The next piece, from 04 to 18 was purchased by one large bank in North Carolina, again he did not know who that bank was. It was purchased even below what it was priced yesterday.

On the short term bonds, no takers on the 01, 02 and 03, BB&T, as our underwriter, bought those three years. Each coupon holds a different rate but the combined rate is 5.4523%.

Henderson County got a good rate. It is well below what had been talked about during the planning. Mr. Nicholson stated that he appreciated the work of BB&T as our underwriters, both in putting the product together and in buying the first three years. He also thanked Staff for the work they had done in putting this project together.

Chairman Hawkins called a 5 minute recess.

Long Range Community Planning

Commissioner Kumor informed the Board that about a week ago she was on a panel sponsored by Sustainable Henderson. She was asked a question for which she had no answer - Has the Board been giving any consideration to working in the capacity of doing visioning and long-range planning and working with, being a part of, or orchestrating their own process based on what a number of other citizen groups is doing? She answered that no, the Board was not doing anything. She asked the Commissioners if they thought the Board should be doing something regarding this issue.

There was a feeling that the Board of Commissioners would be included in the process a little later and that the Commissioners did not need to go out on their own when this had already been started by someone else.

Commissioner Kumor explained that if the Board is ever invited into the grassroots process, the Board may need to house data and provide administrative support for the process.

IMPORTANT DATES

The Board set a Budget workshop for December 13 at 5:00 p.m.

Chairman Hawkins made the motion to set a Public Hearing on the Community Transportation Grant Application for December 15 @ 11:00 a.m. All voted in favor and the motion carried.

CLEAR CREEK CONNECTOR

This was an add-on by Commissioner Moyer. Commissioner Moyer felt that Henderson County should get involved again in this issue of the connector. There are obvious transportation problems in our county. He suggested sending a letter to the City of Hendersonville proposing that a group be established representing all interests on the connector issue.

Following much discussion, it was the consensus of the Board to establish a task force of county, city, and all people involved in the issue to try to forge a resolution to the Clear Creek Connector issue.

SALE OF MUD CREEK SEWER TO CITY OF HENDERSONVILLE

Commissioner Moyer reminded the Board that in April the Board authorized proceeding talking to the City with respect to the sale of the Mud Creek Sewer or portions of the Mud Creek Sewer System. Due to the items on the table at the present time, Commissioner Moyer suggested that the Chairman send a letter asking for a meeting with the City of Hendersonville to initiate discussion on this issue again. It was the consensus of the Board that Chairman Hawkins and Commissioner Moyer be the two county representatives at that meeting.

NEW JAIL

David Nicholson has asked Sheriff Erwin to develop a written proposal constituting a procedure on how the jail would operate. Mr. Nicholson will bring this back to the Board and then it will be shared with the municipalities. Booking will probably be a peak hour system.

WATER SERVICE TO DANA ELEMENTARY SCHOOL

David Nicholson has contacted the Hendersonville City Manager, at the request of the School Board, about the possibility of providing public water to Dana Elementary School. They developed an engineering study chart along with associated costs and forwarded it to Mr. Nicholson. Mr. Nicholson forwarded the study chart to Dr. Burnham. Staff is also looking at the bigger picture of the installation of the water line and what it will mean to the community.

BENT CREEK LETTER & DEED

David Nicholson has written the Asheville City Manager concerning some of the deed restrictions. He has not heard back from him yet. He has a meeting scheduled with the Asheville City Manager soon to express concerns over some of the deed restrictions. Staff is proceeding with the issue of water in that area.

PROPOSED BUILDING - Consolidated Services

David Nicholson explained that based on the Board=s direction from the last meeting, Staff has been working with DSS, Public Health, and the folks in the Land Development Building regarding their space needs. Stuart Stepp and Bill Blalock have been helping to define the needs of the affected departments.

Mr. Nicholson asked for direction from the Board whether they wish to continue with the project at this time. The proposed building may not be able to house all the departments that have been discussed because of a lack of growth space. Sometime in December a decision will have to be made if the Board is interested in leasing the facility.

David will bring options to the Board at the next meeting, December 6, 1999.

CANE CREEK WATER & SEWER DISTRICT

Chairman Hawkins made the motion for the Board to adjourn as Henderson County Board of Commissioners and convene as the Cane Creek Water & Sewer District Board. All voted in favor and the motion carried.

Chairman Hawkins made the motion for the Board to adjourn as Cane Creek Water & Sewer District and reconvene as the Henderson County Board of Commissioners. All voted in favor and the motion carried.

Adjourn

There being no further business to come before the Board, Commissioner Kumor made the motion for the meeting to adjourn. All voted in favor and the motion carried.

Attest:

Elizabeth W. Corn, Clerk to the Board Grady Hawkins, Chairman