The Alleghany County Board of Commissioners met in special
session regarding the budget on Tuesday,
June 5, 2007, at 5:00pm in the Commissioners Meeting Room of the County Administration
Building, 348 South Main Street, Sparta, NC.

Present:  Vice-Chair Warren Taylor, Commissioner
Doug Murphy, Commissioner Milly Richardson, County Manager
Don Adams and Clerk to the Board Karen Evans.   Commissioner Randy Miller and
Chair Ken Richardson were present but arrived late.  County Attorney Donna
Shumate was absent.

Vice-Chair Warren Taylor called
the meeting to order at 5:10pm.

County Manager Don Adams
reviewed the budget book layout and budget worksheets.

Sheriff David Edwards stated that he is happy with the County Manager’s
recommendations in the budget.

Commissioner Doug Murphy and
Sheriff Edwards talked about the recommended budget takes care of their needs
currently.

Commissioner Randy Miller arrived at 5:15pm.

Commissioner Warren Taylor and
Sheriff Edwards talked about the workload increasing due to the growth in the
County.  They further talked about the
number of deputies covering each shift and how the current recommended budget
will change that.

County Manager Don Adams
talked about the reduction in overtime due to having more deputies.

Commissioner Warren Taylor and
Sheriff Edwards talked about the number of federal inmates being housed, number
of jailers and the hours of their shifts.

County Manager Don Adams
talked about the jail budget including juvenile housing and boarding of
prisoners.

Commissioner Warren Taylor, Commissioner Doug Murphy and
Sheriff Edwards talked about food preparation for the jail.

Commissioner Warren Taylor and Sheriff Edwards talked about
having local people to do the maintenance and repairs on vehicles.

County Manager Don Adams
talked about the hospital expense is another unknown.  He further talked about the inmate
medical insurance.

Commissioner Warren Taylor and Sheriff Edwards talked about
the medical care that is provided to inmates.

Commissioner Warren Taylor and Commissioner Milly Richardson
talked about the new uniforms for the employees.

County Manager Don Adams
talked about the console is in the 911 fund’s budget.  He explained that Ryan Lane has been working with the fire
departments and is developing protocols.

Ryan Lane explained the current console and
what it does, maintenance issues with the console, parts not being manufactured
anymore nor is covered under warranty.
He explained that the computer equipment is run through the 911 fund.

County Manager Don Adams
explained that 911 monies can pay for consoles in certain circumstances.  He talked about a pending bill in the General
Assembly regarding the 911 fund balance being opened up for additional uses.

Commissioner Warren Taylor and
Sheriff Edwards talked about inmates not going out into the back yard at the Law Enforcement
Center

.

Commissioner Warren Taylor stated
the Board’s appreciation for the Sheriff and his employees.

Commissioner Doug Murphy and
County Manager Don Adams talked about
the time frame on the General Assembly with the 911 monies.

County Manager Don Adams
further talked about two funding opportunities in regards to the General
Assembly; one reduces the amount the County pays to the Register of Deeds
pension fund estimated to save approximately $12,000 to $17,000 and the other
one is Medicaid relief.  He
explained the different options being discussed in the General Assembly for
Medicaid relief and the County probably won’t know until August.  He further explained that the transfer tax
probably won’t happen this year.

Commissioner Warren Taylor and
County Manager Don Adams talked
about the recent law/rule that states if the State is closing the local DMV
office, they must provide 60 days notice.
County Manager Don Adams
talked about Senator East’s assistance on this matter and explained his
last conversation with Senator East.

County Manager Don Adams
reiterated the budget books layout including the requested
and recommended budgets.  He talked
about the school current expense request and school capital reserve
request.  He explained the mandated
amount for school cap reserve and transfer to the school cap reserve fund.

Commissioner Warren
Taylor asked about the Health Department appropriation.

County Manager Don
Adams stated that he recommends a 3% increase.  He read the paragraph in the budget
message regarding special appropriations.   He continued explaining the
school’s budget request and how it is laid out in the budget books.  He reminded everyone that the School
Board currently has the discretionary authority to move monies between their
expenditure categories.  He explained
how the County budgets one line item, and they move funds within the
categories.

Dr.
Jeff Cox, Superintendent, came
before the Board to discuss the Board of Education’s budget.  He started with the QZAB funding by explaining
the history of looking at the QZAB funds, and he went through the entire budget
to look for any line item as repair or renovations that could be applied for in
the QZAB funding.  He informed the
Board that they met the application deadline, and the uncertainty of how much
money would be received.  He reviewed
items eligible and ineligible for QZAB funding.  He stated that if the QZAB funding is received,
they could manage everything else with the mandated amount for the capital
needs.

County Manager
Don Adams explained that the
mandated amount is $568,269 plus an additional $8,000 in interest.  He stated that he is waiting on a
rollover amount from the Schools.  He
explained the school cap reserve fund’s amended budget.

Dr.
Cox and County Manager Don Adams
talked about the ADM funds received each year.

Chair
Ken Richardson arrived at 6:00pm.

County Manager
Don Adams talked about the rollover
fund balance.

Dr.
Cox talked about conversations that would be required if the QZAB funding
isn’t realized, and they would be coming back to the Board about how to
address those needs if they don’t get full funding or any funding.

Commissioner
Warren Taylor and Dr. Cox talked
about looking at the $146,000 payment to see how much funding would be granted
for that amount of payment.

Dr.
Cox talked about the current expense requests.

Commissioner
Doug Murphy asked if the QZAB
funding is received, does it free up money for personnel.

Dr.
Cox explained that the monies provided for the mandated capital amount and the
QZAB funding will release the burden on the capital outlay side.  He further explained that the School
Board can’t move the monies from capital to current expense because the
Commissioners would have to take that action.  He talked about they are moving forward
with the middle school concept with the understanding that the building
won’t happen this year.  He
talked about putting some middle school positions in place this year.  He explained that three positions could
reasonably accommodate offering some middle school curriculum now.  He stated that this $150,000 would come
out of the reoccurring middle school expenses.   He talked about the requested positions;
K-5 Spanish teacher, gear-up positions, NCWISE clerical position.  He explained that the State is moving
towards a student information system that upgrades information about students,
what is involved in the NCWISE system, costs associated with NCWISE including a
little higher level of management, the need for clerical support, and this is due
to convert over next school year.  He
further talked about the need for the fiber optic connectivity upgrade.  He explained that the NCWISE requires more
bandwidth than what they currently have.
He further explained that T1 lines connect a lot of the schools; State
says they must have enough bandwidth but doesn’t offer any financial
support.  He stated the price for the
connectivity with and without the E-rate discount.

Commissioner
Warren Taylor and Dr. Cox talked about how much money is spent on internet
connectivity currently and the timeframe for NCWISE.

Commissioner
Doug Murphy and Dr. Cox talked about this being a mandatory issue.

Dr. Cox explained that the State is so far
invested into the NCWISE system; he can’t see them not going through with
it.  He further explained the long
term need for fiber optic connectivity.

Commissioner
Milly Richardson and a Skyline Telephone representative discussed Skyline
Telephone having the capacity to offer the fiber optic connectivity upgrade.

Dr.
Cox reiterated their needs regarding the NCWISE program including the personnel
and fiber optic connectivity.

Commissioner
Doug Murphy and Dr. Cox talked about these will be an annual cost.

County Manager
Don Adams and Dr. Cox talked about
when they will know about the e-rate funding.  Dr. Cox stated that the schools have
been getting e-rate funding for a while but had to request more money since the
schools are changing what they.  Dr.
Cox further stated that there is approval to continue as is and the pricing
difference with and without e-rate funding.

Dr.
Cox summarized his requests stating the difference between the recommended and requested
budgets.

Commissioner
Doug Murphy and Dr. Cox talked about the current SIMS coordinators at each
school, and they have additional duties beside the SIMS duties.  Dr. Cox explained that this position
will require work that is harder, more complicated and will be a more
centralized operation.  Dr. Cox
continued explaining that this position will handle all of the conversion
issues.

Dr.
Cox continued summarizing the Board of Education’s request and their priority
on funding.

John
Farrelly explained the need for the middle school positions and areas in the
middle school grades that aren’t being provided currently.  He reviewed the gear-up program which promotes
college opportunities.  He stated
that he appreciates the Commissioners’ consideration and what is done for
the schools.

Clarence
Crouse stated that the School Board is in support of Dr. Cox’s
comments.  He thanked the
Commissioners for what has been done.
He reiterated the need for this additional funding.

Dr.
Cox stated that the Board of Education has asked him to express their
appreciation for the QZAB funding support.

Commissioner
Milly Richardson and Dr. Cox talked about having local people to bid on
projects that they have.
Commissioner Milly Richardson mentioned that the Board of Education will
have to create a list of their priorities if the QZAB funding isn’t
received.

County Manager
Don Adams explained the bidding laws
for County government.

Commissioner
Milly Richardson and Dr. Cox talked about local people doing the work and prioritizing
the schools needs.

Dr.
Cox explained their budgeting process.

Commissioner
Milly Richardson stated that she would like to see a prioritized list if the QZAB
funding isn’t received.

Dr.
Cox asked at what point will the Board of Education know what is in the budget
for them.

Chair Ken Richardson stated that the public
hearing is on June 18 at 6:00pm.  He
encouraged Dr. Cox to stay in contact with the County Manager.

Commissioner Warren Taylor talked about safety
projects that have been discussed for several years, like the Piney Creek
Elementary School gym,
should be taken care of.

Dr. Cox explained the State is projecting a 5% salary
increase. He further explained covering the costs for raises regardless of
where the funding comes from; federal, state or local.  Dr. Cox stated his appreciation to the
Board of Commissioners.

Chair Ken Richardson thanked Dr. Cox.  He recessed this meeting until 5:00pm on
Wednesday, June 6.

Respectfully
Submitted,

Karen Evans

Clerk to
the Board

Attest:

Ken
Richardson

Chairman