The Alleghany County Board of Commissioners and the Alleghany Board = of Education met in special session on Monday, September 17, 2007, at 5:30pm in the Commissioners Meeting Room of the County Administration Building, 348 S= outh Main Street, Sparta, North

The Alleghany County Board of Commissioners met in special session on Thursday, May 15, 2008, at 7:35pm in the Board Meetin= g Room of the County Administration Buil= ding, 348 South Main Street, Sparta, North Caro= lina. The purpose of this meeting is to = have a budget planning session.

Present: Chair Ken Richardson, Vice-Chair W= arren Taylor, Commissioner Randy Miller, Commissioner Doug Murphy, Commissioner M= illy Richardson, County Manager Don Adams, and Clerk to the Board Karen Evans.&= nbsp; County Attorney Donna Shumate was absent.

Chair Ken Richardson called the meeting to order at 7:35pm. He explained that this is a budget workshop.

County Manager Don Adams explained that the main reason for this meeting is to discuss insurance. He reviewed his budget process and= where he is at currently with his numbers still being around the same as earlier projections. He explained tha= t he has built into the budget a 2% cost of living, left all insurance as is, and items that he has reduced or cut to produce a 43¢ budget.

Commissioner Warren Taylor asked how fuel c= osts impacts the County.

County Manager Don Adams explained that he has budgeted a 20% fuel increase for the affected departments.

The Board of Commissioners and the County Manager talked abou= t fuel costs is one of the unknowns in the budget.

Commissioner Milly Richardson talked about looking at how departments operate; employees= come up with suggestions to save money, offering incentives based on the savings like a cost-effective rebate. She asked if anyone would have a problem with that.

Commissioner Doug Murphy stated that he doesn’t have a problem with that.

County Manager Don Adams explained how he sees this could work using copiers as an example to save m= oney within departments and county-wide. He talked about operational items, how overtime gets paid and who ge= ts it. He continued talking to t= he Board about his recommended budget having no capital, no new positions and = leaving $100,000 to $150,000 to be distributed between the Board of Education and a= ll of the special appropriations. He explained that taking out capital poses some issues and risks.

Chair Ken Richardson talked about addressing specific issues at this meeting; insurances and the salary plan.

County Manager Don Adams handed out information showing the workers compensation and property/liabil= ity renewal rates. He explained t= hat these numbers are in his budget. He further explained that he is still talking with NCACC about the workers com= pensation rate increase. He explained t= hat the County does get benefits from the pool, and can’t get better rates outside of the pool. He hande= d out medical insurance rates.

Chair Ken Richardson stated that he has reviewed these rates. He talked about the bright spot wi= th employees is the medical insurance. He said that he recommends keeping the insurance as it is is his vot= e.

Commissioner Milly Richardson explained the 90/10 plan with the $500 deductible. She tal= ked about she has addressed employees’ concerns. She explained that this option wil= l save money.

Chair Ken Richardson stated that this issue will have to be voted on tonight. He reiterated his opinion about st= aying with the current insurance plan.

Commissioner Warren Taylor talked about times that the County has lost employees to other counties and the costs to train new employees. He stated that $21,000 is not enou= gh savings if the County has to replace a couple of employees.

Commissioner Milly Richardson stated that the salary is why the County is losing employe= es.

Commissioner Warren Taylor explained that the benefits package is part of the salary package.

Commissioner Randy Miller talked about his experience with his personal insurance. He further talked about the county employees that came by to talk to him saying they don’t want their insurance messed with. He sai= d that he fills like we need to leave it as is.

Commissioner Milly Richardson talked about the three Commissioners elected in November 2= 006 decided to not take the County insurance. She compared her personal insurance amounts versus the county-employees insurance.

Commissioner Doug Murphy talked about a lot of things sound good on paper but he canR= 17;t go into people’s home to see how this will impact them. He reiterated that he does not see= and cannot see the effect that this would have on employees.

Commissioner Milly Richardson reiterated her point on changing the insurance.

The Board of Commissioners talked about adding this to Monday’s agenda fo= r a decision.

Chair Ken Richardson talked about the county pay-grade plan. He further talked about if the Commissioners don’t like it, then it needs to be addressed. He explained that the pay plan has= grades 81 to 47 and those are based on job types.= He talked about if you start changing this; you jeopardize the integ= rity of it.

Commissioner Doug Murphy talked about if you open the door to allow one department to ta= lk about changing, and then allow all departments. He further talked about job duties= change. He stated the need to look across = the board fairly if there are problems.

Chair Ken Richardson reminded everyone that this was created from the job descriptions. He explained ho= w it was developed.

The Board of Commissioners discussed the pay plan including job classifications, and the pay plan can’t be based on turnover and should be based on wh= at employees actually do.

Commissioner Warren Taylor talked about you can’t do it fairly without looking at = job descriptions.

County Manager Don Adams explained ways to compare if the positions are classified right.

Chair Ken Richardson explained the salary-grade scale. He further explained that one prob= lem is not moving people across the chart through the years.

The Board of Commissioners discussed the step-grade plan.

County Manager Don Adams explained what it would take for this to properly work.

The Board of Commissioners continued to discuss the step-grade plan. They discussed how to fix the issue= of longevity. =

Commissioner Milly Richardson and County Manager Don Adams discussed option #5 for the medical insurance. She asked the Board to look at that plan.

The Board of Commissioners talked about dates for the next budget meeting.=

Being no further business, Chair Ken Richardson declared the meeting adjourned at= 8:55pm.

Respectfully Submitt= ed,

Karen Evans

Clerk to the Board

Attest:

Ken Richardson<= /o:p>

Chairman<= /span>