Wicomico County, MD
Council Minutes
January 17, 2006
The County Council of Wicomico County, Maryland met in Executive Session on Tuesday, January 17, 2006, Flanders Room, Wicomico Youth and Civic Center, Salisbury, Maryland. Present were Anthony Sarbanes, President; Charles R. Dashiell, Jr., Vice President; Edward T. Taylor, Stevie Prettyman, Gail M. Bartkovich, Marvin R. Long and Larry W. Dodd.
President Sarbanes asked for a moment of silence in memory and in honor of Sgt. Michael McMullen, member of the Maryland National Guard committed to Iraq and Salisbury City Firefighter who lost his life attempting to save his fellowman. While others have died, Sgt. McMullen is the first Maryland National Guardsman to die because of hostile combat wounds. This well-trained twenty-five year old paramedic died at the Walter Reed Medical Center. President Sarbanes said he contributed significantly to his country and fellowman and will be missed by all.
President Sarbanes announced that Theodore E. Shea, II, Administrative Director would not attend the meeting, that the meeting would be conducted by S. Michael Thompson, Director of Human Resources. Frederick C. Harris, Director of Purchasing was also available.
Council Vice President and former Salisbury Jaycee Charles Dashiell presented a Proclamation by the Wicomico County Council to the Salisbury Jaycees in recognition of their strong community leadership and to proclaim January 15-22, 2006 as Jaycees Week in Wicomico County, Maryland. The Proclamation was accepted by Jay Pepper.
On call for approval of the Minutes of the Meeting of January 3, 2006, Mr. Long motioned for approval, which was seconded by Mr. Dashiell and unanimously carried.
DIRECTOR OF HUMAN RESOURCES
S. Michael Thompson submitted the following items of business:
Board of Education - Budget Transfers
The Board of Education gave its approval to make transfers of funds between major categories of its approved Annual Budget for fiscal year 2005-2006 for the month of January, in the amount of $114,240; subject to Council approval. On motion made by Mr. Long, seconded by Mr. Taylor and unanimously carried, Council granted approval.
The Board also transferred funds within major categories of its Annual Budget for fiscal year 2005-2006 for the month of January 2006, in the amount of $2,500. Council action is not required for transfers within major categories.
FY 2006 Supplementary Appropriations
The Board called attention to audited, unreserved, undesignated fund balances at the end of June 30, 2005 in amounts totaling $120,000; projected resources in excess of the amount budgeted for Delmar, Delaware Tuition Exchange in the amount of $100,000, and interest earnings anticipated for FY’06 in the amount of $100,000, a total of $320,000. The Board requests use of these funds to defray a utilities’ budget shortfall, based on current projections, of $277,000 and to use the remaining $43,000 to fund the replacement of two School Resource Officers at Parkside High School and Bennett Middle School for a half-year. On motion made by Mr. Taylor, seconded by Mr. Long and unanimously carried, Council granted approval.
FY 2006 Supplementary Appropriation of Unanticipated State Aid
The Board requests approval to recognize unanticipated State Aid in the amount of $50,000 for nonpublic placements, the result of unanticipated increases in special education placements over the amount originally budgeted. The Board also requests permission to appropriate the revenue to its General Fund Unrestricted Operating Budget for FY 2006, in the category of Special Education. The revenue enables the Board to pay bills for which they are already obligated in accordance with State approval for the placements. On motion made by Mrs. Prettyman, seconded by Mr. Taylor and unanimously carried, Council approved the requests.
President Sarbanes announced the Public Hearing for the Capital Improvements Budget and Five-year Plan is January 17, 2006, Flanders Room, 7:00 p.m., Wicomico Youth and Civic Center, Salisbury, Maryland. Copies of the Budget are available.
Delaware Elevator Change Order
Mr. Harris recalled renovations to the elevator located in the Government Office Building; which are expected to conclude by January 23rd pending an elevator inspection. He requested that Council approve a Change Order in the amount of $7,930, to include a fire panel monitoring system. On motion made by Mr. Long, seconded by Mr. Dodd and unanimously carried, Council granted approval.
Social Services Advisory Board
The Department of Social Services Advisory Board recommends the appointment of Sgt. Jessica M. Hill to serve as a member, for a term of three years. On motion made by Mr. Dodd, seconded by Mr. Taylor and unanimously carried, Council granted approval.
City of Salisbury – Parsons Road – G2 Properties Annexation
Mrs. Gloria Smith, Planner, Department of Planning, Zoning and Community Development, stated that her understanding of the publication notice is to apprise Council that the City of Salisbury is proceeding with the annexation. The Department’s record indicates the County Council consented to the annexation in June 2005. No action is requested.
Annexations – Town of Delmar
For information purposes, Council received notice that by Resolutions the following annexations are now part of the Town of Delmar; Resolution No. 2004-12-1 known as the Annexation for Delmar Convention Center; Resolution No. 2005-2-1 known as Annexation for Brian and Rosalynn Baker and Resolution No. 2002-1-1 known as Veterans of Foreign Wars Annexation. No Council action is requested.
Annexations – City of Fruitland
For information purposes, Council received notice that Resolution No. 3-2005 known as the Pfautz Annexation and Resolution No. 1-2005 known as the Rowen’s Mill Annexation were introduced and passed for annexation into the City of Fruitland. No Council action is requested.
Office of the State’s Attorney for Wicomico County
State’s Attorney Davis Ruark recalled that for a number of years he has informed Councils that salaries paid to Assistant State’s Attorneys in Wicomico County fall below those offered in nearby jurisdictions. Toward that end, over the past two years, two of his department’s assistants have been courted by other Offices. To deter this, Mr. Ruark proposed to use funds from an open part-time assistant position to significantly upgrade the two attorney salaries, specifically, an immediate $8,000 increase for both attorneys. Motion for approval was offered by Mr. Dodd, seconded by Mr. Taylor and unanimously carried.
Mr. Ruark told Council he was informed by the Honorable J.L. Norton, Administrative Judge of the District Court of Maryland, that Wicomico Court will increase its number of operable criminal or major courtrooms, requiring his Office to cover an additional courtroom three-to-four days a week. Mr. Ruark said he was not consulted and at present does not have the staff to accommodate the mandate. He requests an immediate allocation of $45,000 in salary plus a benefit package to hire an additional Assistant State’s Attorney. The Office would need $22,500 for the remainder of this fiscal year and has $9,880 available, leaving a shortfall of $12,620, for the first year. On motion by Mr. Taylor, seconded by Mrs. Prettyman and unanimously carried, Council granted approval of $12,620. Council also agreed to forward a letter to Judge Norton expressing concern that the County was fiscally impacted without any input or consultation by the County Council or the State’s Attorney. Council instructed Mr. Thompson to draft the letter, allow the State’s Attorney to review, then forward it o Judge Norton.
Capital Improvements Budget and Five-year Capital Program (CIP)
Mr. Thompson reminded Council that Wicomico County will transition from a Charter County form of government, to an Elected Executive form. In the course of events, the date to adopt the CIP must be set. Staff recommends adoption the first meeting in March 2006. On motion made by Mr. Dodd, seconded by Mrs. Prettyman and unanimously carried, Council set the date of March 7, 2006.
DEPARTMENT OF FINANCE
Statement of Latest Investment Rates/Balances for all County Funds
Patricia Petersen, Director, submitted the Financial Report. Total General Fund balance as of January 17, 2006, $1,626,614. Capital Project Fund balance, $57,636,409; Total Major Non-designated Funds, $82,225,670; and Total Reserve Funds of $8,848,163. No changes in the Contingency Fund appropriation.
Highlights of Significant Financial Transactions
John Ellis, Chief Accountant, reviewed the referenced report citing year-to-date figures for collected and uncollected taxes, investment interest, recordation tax revenue and enterprise account revenues through December 31, 2005.
For information purposes, Mrs. Petersen advised Council should receive a copy of the audit at its meeting of February 7, 2006.
Homestead Credit
The Homestead Credit is a tax benefit for homeowners with low or moderate incomes, designed to lessen the impact of property taxes, based on assessments. Wicomico County has a ten percent locally imposed cap on this credit. Mrs. Prettyman directed specific questions to the Director of Finance for clarification of the credit, its fiscal benefit to the County, citizens and municipalities; what the impact would be if it were reduced; what the impact would be if the Revenue Cap were lifted and, that she would like Council to examine the results of other counties that have lowered their percentages. Mr. Dashiell said he supports the credit, that he understands the ten percent cap was placed so that assessments would not increase beyond that limit, that if the County is going to look at other counties and how they deal with their exemptions, it is important to also look at whether those counties are under a Revenue Cap; if they are not, their financial condition is very different than that of Wicomico County. President Sarbanes the Director of Finance to prepare an Executive Summary for Council review. Mrs. Prettyman reiterated that her interest is that of fully understanding the Homestead Credit, not whether or not she supports it.
P. RAI SHARMA, DIRECTOR, DEPARTMENT OF PUBLIC WORKS
2005 Building Construction Report
Mr. Sharma submitted the 2005 Building Construction Report, with comparisons over the past four years. The report indicates that the total number of permits issued is on the increase, permits to construct new dwellings are on the decline, permits in the Towns of Pittsville and Mardela are somewhat higher than the previous years, commercial activity is constant and most development is occurring in the Municipalities.
Salisbury Christian School - Guardrail Request
Subsequent to a recent accident where a vehicle traveling east on Outten Road failed to stop at the intersection and drove through the Salisbury Christian School’s chain link fence and onto its playground area, the school requests the County install a guardrail at the edge of its property. Mr. Sharma conducted an investigation and determined the accident to be an isolated incident that did not warrant the installation of a guardrail by Council forces. The information was submitted to school with the understanding that installation could occur; as long as the guardrail is on school property and not within the County right-of-way; removing any County liability.
Paving Schedule
Mr. Sharma recalled the County’s paving schedule included $1.4 Million Dollars for blacktop however, that over the last three years Wicomico County’s funding has been reduced by approximately $5.4 Million Dollars in State Highway User Revenues; indicators are that funding is at-risk again this year. While certain of the County’s roads may not be paved, Mr. Sharma expressed his concern that the County finds additional revenues for road infrastructure. President Sarbanes requested and Council concurred, that Mr. Sharma draft individual letters (from Council) to the Eastern Shore Delegation requesting assistance to retain and return these at-risk funds.
Wicomico Partnership/Local Management Board
Linda Hardman, Director, requests approval of three grants to support the Wicomico County Child Advocacy Center. Proposed are a one-day training on secondary trauma in the amount of $30,000; two national conferences for training in best practices working with child abuse investigations, $5,000, and equipment purchases for the interview room, $10,000. No County match is required. On motion made by Mr. Dodd, seconded by Mr. Taylor and unanimously carried, Council granted approval.
EDGAR A. BAKER, JR., COUNTY ATTORNEY
Public Hearing – Lease Agreement
NOTICE IS HEREBY GIVEN in compliance with Section 22-2 (G) of the Wicomico County Code, that the County Council of Wicomico County will consider a Lease Agreement between the Wicomico County Airport Commission and Bay Land Aviation, Inc., in which Bay Land proposes to lease from the Wicomico County Airport, that certain area known as Maintenance Hangar (Bay Land) Building 14 on the Airport Layout Plan prepared by Delta Airport Consultants, Inc., dated November 2001; to be used for housing aircraft, performing aircraft maintenance and associated operations. The proposed Lease is for a term of ten years, with one renewal period of ten years. The rental shall be as set forth in the Lease with an escalation based on the consumer price index.
There were no public or County Council comments. On motion made by Mr. Dashiell, seconded by Mr. Dodd and unanimously carried, Council granted approval.
License Agreement
For Council consideration, Mr. Baker submitted a License Agreement by and between the Wicomico County Airport Commission, acting for and on behalf of Wicomico County, Maryland and Wicomico Composite Squadron, referred to as Civic Air Patrol (CAP), or Licensee. Mr. Baker advised that Piedmont Airlines wishes to donate to the Patrol the 24’ x 60’ modular classroom trailer currently used the Patrol, with the restriction that they maintain an active squadron at the Airport. It would cost the Patrol $28,925 to move the trailer to an available site on the Airport; to be repaid as provided in the Agreement. The current facility Lease will be relinquished by execution of the License Agreement. At the end of the Lease term the modular becomes property of the Airport. The Agreement has been reviewed and approved by the Airport Commission and the County Attorney. Civil Air Patrol had a few minor terminology changes which Mr. Baker feels will be resolved. Therefore, he requests approval of the Agreement, subject to final negotiations of those items. On motion made by Mr. Taylor, seconded by Mr. Dashiell and unanimously carried, Council granted approval.
JACK LENOX, DIRECTOR OF PLANNING, ZONING AND COMMUNITY DEVELOPMENT – GLORIA SMITH, PLANNER
Agricultural Land Preservation
Mr. Lenox advised the Agricultural Preservation Advisory Board has reviewed the appraisals, easement valuation and ranking of the applicants in the Wicomico County Agricultural Land Preservation Program who have submitted applications to sell the development rights of their properties to Wicomico County and recommends an offer, when funding is available, to the William B. Harcum district. On motion made Mr. Taylor, seconded by Mr. Long and unanimously carried, Council authorized the offer to William B. Harcum in an offer recommended by the Advisory Board.
S. MICHEL THOMPSON, DIRECTOR, HUMAN RESOURCES
Updated 457 Deferred Compensation Plan
Mr. Thompson recalled that Wicomico County adopted a Deferred Compensation Plan in 1991; prepared in conformance with Section 457 of the Federal Internal Revenue Code. When adopted, the Plan was to keep current with changes in IRS Regulations however a formal document to continue instituting change was not developed. He requested a motion to reaffirm Wicomico County’s position on the Deferred Compensation Plan adopted in 1991, which is: to have a Plan that was created, administered and interpreted (since conception) in accordance with Section 457 of the Internal Revenue Code of 1986, as amended. The document has been reviewed by the County Attorney. Council accepted the language of the motion as presented by Mr. Thompson and reaffirmed it position. The document executed as a result of this action is an annual recommitment to that principle.
GARY W. MACKES, DIRECTOR, RECREATION, PARKS AND CIVIC CENTER
Civic Center
Mr. Mackes came before Council recalling ongoing discussion regarding the Wicomico Youth and Civic Center (Y&CC) renovations. Mr. Mackes reported that the staff developed a plan to restore the Y&CC; cost is projected to be approximately $11.9 million dollars. To begin this process, he proposes to establish a Capital Escrow Account; which would require Council to allocate the difference between the budgeted and actual amounts to operate the Civic Center the last fiscal year and, to dedicate the taxes that are earmarked for this purpose: seat tax, 1% room tax and 10% restoration fee on non-admissions events, to be escrowed for the next two fiscal years, as well as, taking the difference between the Operating Budget and the actual appropriation for the current budget, $140,000; to be reduced each year, raising approximately $1.3 Million Dollars over eighteen years, to have funds available to undertake capital repairs, which would negate having to request funding from Council on individual case basis. He expects this capital escrow account to provide one-third of the cost of needed renovations. The second step to fund the restoration plan is to apply the receipts collected from the dedicated seat tax, hotel tax and restoration fee finance a general obligation bond issue. The dedicated fees can be leveraged to borrow approximately $2 Million Dollars in FY 2008. He suggested that the county seek an equal match from the State of Maryland. The State made similar arrangements to fund the improvements made to the Baltimore and Roland Powell Convention Centers. This will leave an unfunded balance of $4 Million Dollars estimated in today’s dollars to find in out years. Vice President Dashiell expressed support for a well-developed plan that addresses the capital needs of a very important community asset. He recalled Council asked Mr. Mackes to meet capital needs not generally asked of a department head and he has developed a means to address those needs. Mr. Long applauded the foresight to develop a plan and identify its funding source. Further, as evidenced by the vast number of schools in disrepair, it is not cost-effective to defer maintenance. Toward that end, he offered a motion to authorize Mr. Mackes to establish an Escrow Account as proposed. Mr. Taylor seconded the motion. Mr. Dodd agrees the needs are obvious however he expressed concern that there is not a State commitment for funding at this point. Mr. Mackes responded the first step in his proposal is to establish the Escrow Account and would go to the Bond Market in two years. If the County borrows money to fund renovation costs, the State would be asked to match the bonded amount. Mr. Taylor recalled the Council of l998 instructed Mr. Mackes, with Council support, to manage the Civic Center like a business and to support his effort until the facility became self-sufficient. He said he upholds that commitment, that Mr. Mackes has developed a good plan, a repayment schedule and foresight to involve the State. Mrs. Bartkovich confirmed her thinking that, if there was no commitment from the State, Mr. Mackes would have to re-think the proposal. She also stated the request should be part of the County’s normal budget deliberation, rather than before Council at this time. Mrs. Prettyman stated this is an aggressive plan, the request is outside of the budget process, that Mr. Mackes is requesting taxpayer dollars to fund an Enterprise Account, which should be self-sustaining, that she could not make an eighteen year commitment for the use of tax payer dollars and, that she has a concern with borrowing money without a commitment from the State. Mrs. Prettyman recalled that she advocated for a seat tax and that has been implemented. While there are some aspects she could support, she does not support the proposal in its entirety. Atypical of other departments, the Youth and Civic Center is a business. Mr. Mackes stated that operating costs are difficult to project for the Civic Center as it is impossible to predict the number and extent of events to be held when the operating budget is developed since the majority of event organizers execute contacts two months before events are held. He reminded Council that events impact operating costs and the money generated exceeds costs by three times. This reflects why a set Operating Budget does not work to manage a civic center. Mr. Mackes called attention to past establishment of similar capital escrow accounts which have funded major restoration and equipment replacement at the Henry S. Parker Athletic Complex, Pemberton Park, Tourism Center and the harbors. Mr. Mackes added that he is not requesting funds to construct a new facility but rather to maintain what is already within the Youth & Civic Center. Finally, he suggested that Council has the choice of using the business model to establish an Escrow Account, to do nothing or, to find money for major repairs when something breaks. He referred to replacement of the chillers to cool the area will cost $500,000 and would deplete the County’s current Operating Budget Contingency - when they need to be replaced. The motion passed with five affirmative votes. Mrs. Prettyman and Mrs. Bartkovich voted no.
PUBLIC COMMENTS
Prior to her comments, President Sarbanes complimented Katrina Purnell for being honored at the Rev. Dr. Martin Luther King, Jr. Banquet for her contributions to the community. Ms. Purnell expressed support for the Civic Center proposal, that according to media sources the Council does allocate funds outside the budget process. She referred to use of an appropriation to the Roads Division, which Mr. Sharma later corrected by advising that money used for roads in Wicomico County comes from State Highway User Revenue, not County taxpayer dollars.
Karen Baisle, resident, called attention to varied subjects; her tax increase because she lives near the water, increase in her rent slip at Cedar Hill Park; support for children and seniors of Wicomico County, the status of the Impact Fee on new development, the creation of Adequate Public Facilities Ordinance (APFO) and, the two percent Revenue Cap. President Sarbanes responded that attention was drawn to the Impact Fee but not the Excise Tax; that the idea of an APFO was raised and received no interest by the majority of Council members and, that the only way the Revenue Cap would be removed is by the voters; though he thought it would be interesting to see if the sitting Council had any interest in putting this on the ballot. Mrs. Prettyman reiterated her interest in an APFO and that she hopes her colleagues would want to look at a draft.
Linda Kent, We Care About Wicomico County, asked which Council members did not favor an APFO, tow which President Sarbanes responded the two members who wanted an APFO were Mrs. Prettyman and Mr. Dodd. She also wanted Council to know that the organization is going to go the distance with Council on the Impact Fee.
Mary Ashanti, President, Wicomico County NAACP confirmed her understanding of an Impact Fee and an Excise Tax and what each would accomplish, and that the NAACP supports an Excise Tax. She suggests the controversy is political and does not serve the children in the County. President Sarbanes said the plan is to demolish Bennett and build a school for the same number of student; which is existing capacity. An Impact Fees can not be used for that purpose.
Tina Perrota, We Care About Wicomico County, was of the impression the Council had voted on the Impact Fee, she was informed they have not.
COUNCIL COMMENTS
Calling attention to the Open Work Session on Impact Fees, Mrs. Prettyman offered a motion to reconvene in Executive Session to allow Council an opportunity to vote if they agreed on the changes. There was no second. The motion failed.
President Sarbanes announced that the Department of Public Safety and Correctional Services reports that the Emergency Services (9-1-1) Center has met or exceeded requirements and, that the citizens of the County are being well-served.
For information purposes, Mrs. Bartkovich advised that the Detention Center annex moved to the former D.R.I.L.L. Academy facility; approximately 68 work-release individuals. A hand-delivered letter will be given to area residents with appropriate contact information in the event they have concerns.
Mr. Long, who serves on the Wicomico Public Library Board, announced the ribbon-cutting for the Branch Library at Pittsville, located on the grounds of the Pittsville School.
Mr. Dodd wished to thank the citizens who attended the meeting for their participation and to President Sarbanes for the moment of silence for Sgt. Michael McMullen, whom he knew well.
There being no further business to come before the County Council the meeting was adjourned to an Open Work Session on motion made by Mr. Dashiell and unanimously carried.
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Anthony Sarbanes, President
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Charles R. Dashiell, Jr., Vice President
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Edward T. Taylor, District 1
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Stevie Prettyman, District 2
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Gail M. Bartkovich, District 3
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Marvin R. Long, District 4
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Larry W. Dodd, District 5
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S. Michael Thompson, Director
Department of Human Resources
Executive Session January 17, 2006
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