VIRGINIA: AT A JOINT WORKSESSION BETWEEN THE BRUNSWICK COUNTY BOARD OF SUPERVISORS AND THE BRUNSWICK COUNTY SCHOOL BOARD HELD ON TUESDAY, FEBRUARY 7, 2006 AT 5:30PM
PRESENT: MARC L. FINNEY, CHAIRMAN; BARBARA JARRETT DRUMMOND, VICE-CHAIRMAN, ROBERT H. CONNER, BERNARD L. JONES, SR., WELTON TYLER, MEMBERS; TAMMY W. NEWCOMB, CMC, INTERIM CLERK;
FANNIE McCLENNEY, CHAIR; JAMES M. JONES, VICE-CHAIRMAN; GREGORY HAND, BARBARA LASSITER, FREDDIE REEKES, JOHN D. ROBINSON; DALE W. BAIRD, SUPERINTENDENT; H.B. BROCKWELL, DIRECTOR OF BUSINESS OPERATIONS
ALSO PRESENT: SPENCER H. ELMORE, FINANCIAL CONSULTANT; MARILYN H. BRAMMER, FINANCE DIRECTOR; ALICE C. MAITLAND, TREASURER
Chairman Finney called the Board of Supervisors to order at 5:40 p.m. and welcomed
all in attendance.
Chairman McClenney called the School Board to order and welcomed all in attendance.
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Re: Office Space Project
Superintendent Baird provided a brief background regarding the office space issue for
the School Board Administration.
Mr. Baird stated the discussion regarding office space needs and requirements
began approximately eight (8) years ago. He stated there were approximately thirty
(30) employees housed in the Learning Center (old primary school building on park
street). He stated the building did not have adequate space to accommodate the
department=s growing needs and there were no funds available to spend on the
building. Mr. Baird added that a hurricane severely damaged the roof. He stated
that Phase II of the Tech Center was currently under construction and class room
space was made available to accommodate the employees from the old primary school
temporarily. He added that the School Board hired a consultant to prepare a feasibility
study on the construction of a new administration building. Mr. Baird stated that the
Industrial Development Authority wanted the School Board offices to remain in the
town limits. He added that a study was conducted on use of the old Star Value
building and the old Walker Drug building and it was determined that there was not
enough space for all employees.
Mr. Baird indicated that soon after that study, it was announced that the Peebles
building was planning to close its doors.
Mr. Baird stated that the County offered the Peebles building, as the 10% local match,
toward the upcoming Qualified Zone Academy Bond (QZAB) funding available to the
County.
Mr. Baird stated the School Board moved forward, after authorization from the Board
of Supervisors, with design and cost estimates on renovations to the Peebles building
prepared by Dewberry, for a project at an estimate cost of $2M to $2.75M.
Mr. Baird reported that the Board of Supervisors, after hearing a presentation from
Davenport and company on projected debt service for the project, requested the
services of the County Financial Consultant.
Mr. Baird advised that he and his Staff met with Mr. Elmore to provide background
information on the project and it was suggested by Mr. Elmore to research completion
of the renovations to the Peebles building in Phases.
Mr. Baird stated it was determined that completion of a Phase I, which includes
renovation of the first level and basement, could be accommodated with the $90,000 in
the School Board=s budget. (In August 2004, the School Board designated and the
Board of Supervisors approved use of the $90,000 in additional state revenues for
debt service expenses for the new office building - start up planning and design costs)
Mr. Spencer Elmore, County Financial Consultant, stated that his objective is to foster
the need for a more centralized location for school personnel at the most cost effective
manner between the two boards.
Mr. Elmore stated that he did meet with Dale Baird and his Staff to get a full
understanding of the proposed project. Mr. Elmore stated he did review the
information as prepared and presented by Davenport & Company and could not
critique or justify the numbers contained in the report. Mr. Elmore added that he
could agree that the numbers presented in the report represent reasonable and
conservative projections on growth.
Mr. Elmore stated that when Davenport and Company added the Peebles renovation
project in the presentation, the results are a 12.7 cents increase in the tax rate over a
five year period.
Mr. Elmore reminded the two boards and the audience that back in the 1980's the
county was in the worst financial shape of any locality in the State of Virginia due to
the Board making assumptions on grant funding that did not come in.
He further added that this current Board inherited a FY04 county budget that was
out of balance in the amount of $385,875. He stated the incoming Board had to
enact a 10 cent tax increase to balance the budget and accommodate some school
projects (6 cents covered deficit; 2 cents covered debt service on Phase III; and 2 cents
went to general operations).
Mr. Elmore stated that the FY06 County budget was at a deficit of $387,026. He stated
that the Board should practice prudent fiscal management and a budget should be
used as a guideline for the upcoming year. He added that any requests for additional
funding should be postponed until the next fiscal year unless it is an emergency.
Mr. Elmore stated that he has not made any public comments about school financing
over the past 10 years.
Mr. Elmore stated that upon review of the FY05 County Audit, it was determined that
additional revenue above the 65% came in at $168,438. Mr. Elmore further stated
that the FY05 County Audit also revealed that school transfers exceeded authorization
in the amount of $246,037. He stated that this still leaves a deficit in the amount of
$77,599. He added that the Board of Supervisors should cut the School=s current
year local appropriation in the amount of $77,599.
Mr. Elmore stressed prudent financial management and that there needs to be
accountability.
Mr. Elmore stated that over the years the School Board has talked about consolidating
schools and construction of a new administration building. He stated that he toured
the Courthouse Square in search of possible space to accommodate school personnel.
He stated that since the School Board and Board of Supervisors have agreed to use
the Peebles building as the local match for QZAB funding, there may be some legal
entanglements now.
He stated the renovation of the Peebles building as originally proposed is an excessive
renovation project. He stated as the County=s Financial consultant he cannot support
any debt service on behalf of the Board of Supervisors for this project. He indicated
he had an alternative proposal for consideration by the Board of Supervisors.
Mr. Elmore stated in his search for available office space, he toured the old courthouse
building and was shocked at the condition of the building. He stated this building is a
historic landmark and something needs to be done to protect this building.
Mr. Elmore added he could not make any commitments on funding until the Board
of Supervisors works on the upcoming budget and deals with the deficit.
He challenged the Board to adopt a balance budget in FY07, without using fund
balance or landfill host fees. He further challenged the Board to adopt an FY07
general capital project budget (excluding federal fund projects and Peebles building
renovations) not to exceed $1M.
Mr. Elmore challenged the School Board to provide and demonstrate assurance that
there will be prudent financial management and accountability.
Mr. Elmore presented the following two (2) proposals for consideration:
School Administration Space
A. Peebles Building Renovation (first level/basement only) at a cost of $1.25M. This will leave approximately 16 people without housing. Must provide temporary housing somewhere.
B. Construction of new Administration building on school property. Construct a facility all brick or shell type building using existing county resources.
Old Courthouse
Utilize $1.25M to get old Courthouse building protected and refurbished for county administration offices and Board of Supervisors meeting room. Research possible grant funding for courthouse restoration or historic building preservation.
QZAB (FY2007)
$90,000 commitment from School Board could be used to cover this debt service.
Mr. Elmore stated that the Board of Supervisors may consider taking the $1.25M for
School Administration and $1.25M for the old courthouse from the general operating
fund balance and/or the general capital project fund balance for a one time capital
outlay for these two projects after review of the FY07 budget figures.
Mr. Elmore stated that he believes in the need to centrally locate school personnel and
in the protection of the County=s historic courthouse.
Mr. Elmore stated that these proposals can meet multiple objectives if completed.
The Board thanked Mr. Elmore for his presentation.
It was the consensus of the Board of Supervisors that it will discuss the proposal as
presented, review its FY07 budget information upon receipt, and agree how
to proceed with the projects.
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Additional Appropriations for FY06
Mr. Baird stated that he had forwarded to Mrs. Newcomb, Interim County Administrator,
a request for the Board=s February agenda for Additional Appropriations in grant
funding. This was provided for the Board=s information in case they had any questions.
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Budget Module - Bright System
Mr. Baird stated that discussion had been held several years back regarding the School
Board=s access to the Budget Module on the County=s Computer system (Bright
System). He inquired as to how the School Board could be granted access to this
system.
It was the consensus of the Board to direct the Interim County Administrator to research
this matter and report back to the Board.
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Joint Worksession - April 2006
Mr. Baird indicated that the next joint worksession was scheduled on April 11, 2006 and
would occur after the budget had been advertised. He indicated the Board of
Supervisors may want to have a joint meeting prior to advertisement of the School
Board budget.
It was the consensus of the Board to contact the Interim County Administrator regarding
available dates for a joint worksession.
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Re: Adjourn
Upon motion of Mr. Conner, seconded by Mr. Tyler, and unanimously carried, the
Board of Supervisors adjourned until 4:30 p.m. on Wednesday, February 15, 2006 for
a closed meeting.
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Marc L. Finney, Chairman Tammy W. Newcomb, CMC, Clerk