City of New BernBoard of Aldermen Budget Work Session

May 14, 2018 — 1: 00 p.m.City Hall Courtroom300 Pollock Street

Mayor Outlaw opened the meeting with prayer. The Pledge of allegiance was recited,

followed by a roll call.

Board Members in Attendance: Mayor Dana Outlaw; Alderman Sabrina Bengel,

Alderwoman Jameesha Harris ( arrived at 2: 45 p. m.), Alderman Robert Aster, Alderman

Johnnie Ray Kinsey (arrived at 1: 07 p. m.), Alderman Barbara Best (arrived at 1: 16 p. m.),and Alderman Jeffrey Odham. Absent: None. A quorum was present.

Also in Attendance: Mark Stephens, City Manager; Kristen Culler, Assistant CityManager; Brenda Blanco, City Clerk; and J. R. Sabatelli, Director of Finance.

Alderman Bengel made a motion to allow public comment at this time, seconded byAlderman Odham. The motion carried unanimously.

Mayor Outlaw opened the public hearing, and the following spoke:

Ken Kirkman, President of Carolina Colours Homeowners Association, spoke on behalf

of 50-60 residents who planned to attend, but instead chose him as the spokesperson.

Mr. Kirkman spoke in favor of adding additional staff to the Thurman Road fire substation,noting a concern about the response time for adequate equipment to arrive in that region.He also voiced concern that the construction on Highway 70 will be a gigantic mess thatwill last for three years and may impede the ability to respond. However, once

construction is complete, it may be beneficial to reevaluate the need for additional staff.

Juliana Borges of 4413 Cobblestone Alley, a second grader, stated she learned aboutcity government at school this year. She also noted as a Girl Scout, she has learned

about the need to raise her voice for matters that are of concern. As a resident of Carolina

Colours, she expressed fear for her safety due to the lack of firemen at the Thurman Roadstation. She also communicated concern about how city taxes are being spent, notingthere is no price tag that can be placed on the safety of citizens. Juliana displayed a

poster made and signed by her classmates asking the City to protect their school andcommunity.

Lori Lozier of 3606 Seafoam Court made a plea for the City to staff the Thurman Roadstation with six on-duty firemen. She said the City is not living up to the Fire Department' smission to provide continual protection from fire and life-threatening emergencies andreferenced the recent fire and full loss of a home in Taberna. She felt the residents of

Carolina Colours provided substantial revenue and resources for the City, and Ms. Lozierexpressed a lack of security for homes in that area could subtract from future growth.

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CarolinaColoursprovidedsubstantialrevenueandresourcesfortheCity, andMs. Lozierexpressedalackofsecurityforhomesinthatareacouldsubtractfromfuturegrowth.

AldermanKinseybrieflysteppedoutoftheroomat1:17p.m.)

AldermanAsterpresentedJuliannawithanofficialcitylapelpin.

TheBoardchosetoleavethepublichearingopenthroughtoday’sdiscussion.

1. ContinuedDiscussionofRecommendedFY2018-19Budget.

AteachBoard member’sseatwasastaticspreadsheetoftheitemspreviouslyplacedinthe “parkinglot” list. Mr. StephensexplainedtheinteractivelistandnotedMr. SabatelliwouldupdateitastheBoardexpresseditsdesireforcertainitems.

AldermanKinseyreenteredtheroomat1:20p.m.)

Mr. Stephensalsoexplainedthespreadsheetiscreatedtoreflecttheimpactcertainexpenditureswillhaveandtheamountofrevenuethatwouldneedtobegeneratedtofundthoseitems.

AldermanBengelnotedshehasspokenwithPoliceChiefToussaintSummersanddiscoveredtheCitystillhastwoanimalcontrolvehicles, so $40,000foranadditionalvehicleisnotneeded. WithrespecttotheAnimalControlOfficer (“ACO”), thetetheringordinanceadoptedbythepreviousBoardhasincreasedtheamountofcallsreceived. AldermanBengelreviewedthestatusgiventoheronthenumberofcalls, andshesuggestedtheadditionofatleastapart-timeposition. MayorOutlawquestionedtheCounty’sinvolvementandwhetherthereisacontractentitythatcouldrespondwhenapoliceofficerisdispatchedafterhourstorespondtoanimalissues. AldermanBengelstatedpartoftheproblemistheCountydoesnothaveenoughACOseither, andthereisnotaholdingfacilitylargeenoughforalloftheanimals. Shestatedthereisabigissuewithferalcats, whichAldermanBestreiterated. Ifmostofthecallsarereceivedafterhours, AldermanBestquestionedwhetherapart-timepositionshouldcoverthedaytimehoursandafull-timeofficerworkatnight. Inresponse, AldermanBengelnotedherstatsdidnotindicatewhethermostcallswereinthedayorevening. However, apart-timepersoncouldatleastperformanimalwelfarechecksandcoverthehoursthefull-timeACOisoutoronvacation.

AldermanOdhamnotedadditionalstaffwouldaddresssomeoftheissues, butthereisstillnoplace totaketheferal cats. AldermanAstersuggestedthecatsbecaptured, spayedorneutered, andthenreleased. Thiswouldeventuallyaddresstheissue, anditisactuallyasuggestedpracticebytheHumaneSociety. AldermanBestquestionedwhetheranyoneknewofaveterinarianwhowouldbewillingtoofferin-kindservices. AldermanAsternotedtheHumanSocietyutilizesveterinarianswhoperformtheserviceatadiscount.

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AldermanBengelstatedshewouldbewillingtomakeamotiontoatleastaddfundsforapart-timeposition, butinthemeantimetalktoanonprofitsuchastheHumaneSocietytoseeifCityfundingcouldinsteadbeusedtopaythemtoprovidesomecoverageorassistwiththesituation. Mr. Stephensremarkedthiswasagreatidea, buttheCitywouldneedtospeakwiththeHumaneSociety. Asforthebudget, hesimplyneededtoknowadollaramounttheBoardwaswillingtofundsohecouldplugthatin. AldermanOdhamsuggestedtheBoardauthorizeadollaramountandnotdesignatewhetherthefundsweretobeusedforapart-timeorfull-timeposition. Thiswouldallowstafftodeterminethebestroutetopursue. TheconsensusoftheBoardwastoadd $25,000tothebudgettoaddressACOneedsandremovethe40,000forananimalcontrolvehicle. MayorOutlawsuggestedinthenextcouple

ofweeksthatanadhocgrouplookattheissueofferalcats, grantwriting, partneringwithothers, etc. AldermanOdhamnotedCravenCountyjusthiredanadditionalperson, andtheCitymaybeabletorelyonthemforsomedata.

Withrespecttothetelecommunicator positions, AldermanKinseyquestionedtheneedtohiremoretelecommunicatorsifconsolidationof911servicesisstillbeingconsidered. Mr. Stephensnotedatthispoint, consolidationisuptotheCountyandwhethertheyareamenablewithmovingforward. Stephensnotedthetopichasbeendiscussedthreeorfourtimesinthepast. Withelectionsapproaching, AldermanAsterrecommendedtheissuebereaddressedwiththeCountyafteritsnewBoardtakesseat. Untilthen, Alderman Astersuggestedthepossibilityofpayinganadministrativestaffortelephoneoperatorstohandleadministrativecalls. Mr. Stephensrespondeditwouldrequireachangeinoperatingprocedures andexplainedthisinsomedetail. AldermanBengelannouncedshevisitedthecenterlastweekanddescribedherunderstandingofhowcallsarereceivedandanswered. Alderman Odhamaskedifdataisavailableforafter-hourcalls, andMrs. Cullerrepliedthatinformationcouldbeobtained. ShealsonotedChiefSummershasbeenlisteningtothediscussionandisonhiswaytothemeeting. Thistopicwasputonholduntilhisarrival.

AldermanBestaskediftheadditionalsixpositionsforaFireSpecialistIwouldallbestationed atThurmanRoad, andFireChiefBobbyBoydconfirmedtheywould. AldermanAsteraskedifthepositionswereapprovedwhetheranysupplementalfundingwouldbeneededtoaccommodatetheadditionalstaff. ChiefBoydrepliedtheonlyaccommodationswouldberearrangingthesleepquarters, etc. AldermanOdhamstatedtherehasbeenalotofdiscussionaboutthetwo-intwo-outpolicy, whichhehasreadthrough andexplainedittohisunderstanding. AstheCityoperatesnow, fourmenarenotdressedandreadyaccordingtoChiefBoyd, astheEngineerisnotdressed. ChiefBoydexplainedthetacticalprocessofrespondingandhowmuchtimeisinvolved. AldermanOdhamexpressedconcernthatiftheCityproceededwithaddingsixnewfirefighters, thepublicmayassumeafalsesenseofsecuritythatthiswillhelpbattlefiresquickerwhenitisreallyforthesafetyofthefiremen. ChiefBoydstatedadditionalpersonnelcouldprobablymakeadifferenceofonetotwominutesinresponsetime. AldermanOdhamexpressedadesiretomakesurethepublicunderstandsiftheCitymovesforwardwithaddingpersonnel,

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itwillstilltakeanexorbitant amountoftimetorespond. AldermanBestaskedwhetherhiringsixadditionalpeoplewouldputtheCityincompliancewiththetwo-intwo-outpolicy, andChiefBoydrepliedyesbutitisagrayarea, whichheexplained. AldermanOdham, notingconstructionofHighway70willnotstartthisyear, askedwhethertheadditionofthreestaffmemberswouldgivethedepartmentalittlemoreconfidenceandmakeanimpact. ChiefBoydansweredbysayinghewouldtakethreestaffmembersifthatisallhecouldget, buthefeltthatwasamatterofsplittinghairsandexpressedaneedfor12morepositions. AldermanOdhamnotedthereisalotthatcomesintoplaywitheachcallforassistanceandnotedthecircumstancesthatheavilyimpactedthelasttwomajorfiresintheThurmanRoadarea. Healsoexplaineditisveryeasytoadditemstothebudget, butthechallengeishavingtherevenuetopayforthem. MayorOutlawquestionedaddingstafftotheThurmanRoadstationwhentheotherendoftownhasthesameissue, buttheissueisnotbeingaddressedforthatarea. ChiefBoydconfirmedtheElizabethAvenuestationalsohassomeissues, buttheTabernastationwasdeemedhigherontheprioritylistbecauseoftheupcomingHighway70project. AldermanAsterstatedaddingstaffdoesnothelpthesecondin, butwillallowsuppressionoperationstobeginuntilthesecondduearrives.

AldermanBengelstatedsheisconcernedabouttheamountofmoneythatmustbespent, butvoicedtheutmostrespectforChiefBoydandpointedoutheischargedwiththesafetyofNewBern’scitizens. Therefore, whenChiefBoydasksforsomething, theBoardhastositupandlistenandmakecutsinotherdepartments. Forthatreason, shestatedshewouldhavetosupporthisrequest. TheareaneartheThurmanRoadstationisbuildingupevenmoreandisgreatlyaffectedbytraffic. AlthoughstepswerenottakenwhenPleasantHillwasannexed, shesaidtheCitywillhavetoaddressthatareaaswell.

AldermanOdhamaskediftheBoardwouldbelookingatwheretomakecutsinotherdepartments, pointingouttoday’sdiscussionofthe “parkinglot” listislookingatthingstoaddtothebudget. Heaskediftheplanistoincreaserevenuetopayfortheadditionalitems. AldermanBengelrespondeditisthejoboftheCityManagerandhisteamtotaketheitemstheBoardwantsaddedandreportbacktotheBoardwhatneedstotakeplaceinordertobalancethebudget. ShestatedshedidnotfeelitwastheBoard’sjobtoremoveitemsfromthebudget. MayorOutlawstatedhedidnotseeanythingthatcouldbecutfromthisbudget. Mr. Stephensstatedtheamountplacedincontingencywouldnotbeenoughtocovertheadditionalitemsdesired. However, adjustmentsinrevenuewouldmakethispossible. Otherwise, serviceswillneedtobecut. AldermanBestsaidsomeoftheBoardhaddiscussedthepossibilityofincreasingthemotorvehiclefeefrom $5to $15, andshequestionedwhetherthatadditionalrevenuewouldbeofassistance. Mr. StephensaskedJ.R. Sabatelli, DirectorofFinance, tomanipulatetheworkingspreadsheettoshowtheimpactofa10increaseinthemotorvehiclefee. Theresultwasanadditional $248,000in

revenue.

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AldermanAsteraskediftheBoardshouldlookattheitemstheywantleftonthelistandtakeouttheonestheyarenotinterestedinpursuingatthistime. AldermanBengelnotedsomeoftheitemsonthelistarethosethathadpreviouslybeenconsideredforfundingthroughaloan. AldermanBestaskedwhatimpactwouldresultfromincreasing thesanitationrate. Mr. Stephensexplainedany amountabove $1.89wouldberestrictedforsanitation use. Mr. Sabatelliexplainedcostrecoveryandhow $280,000wouldgobackinthegeneralfund.

AldermanBengelmomentarilylefttheroomat2:15p.m.)

Insteadofincreasingadvaloremtaxes, AldermenBeststatedshewouldratherseethemotorvehicletaxandsanitationrateincreased. Mr. Stephensexplainedthebenefitsofputtingsanitationinanenterprisefund, oneofwhichiscapturingalloftheexpenseswithinthatoperation. Inanenterprisefund, theratecanbeincreasedtoaccommodateforthecostofserviceaswellascapitalneeds.

AldermanAsteraskediftheupcomingretirementsforFireDepartmentstaffweretakenintoconsiderationwhenestimatingthecostofhiringadditionalfirespecialists. Forthepurposeofprovidingcostestimates, Mr. Sabatellistatedtheretirementswerenotfactoredin, butwouldyieldsomeadditionalsavings.

AldermanBengelreturnedat2:18p.m.)

AldermanAsteraskedaboutanelevatorforCityHall, whichisreflectedontheparkinglot” list. AldermanBengelannouncedthedisabilityworkinggrouphasbeen

formed. Bylaw, aplanmustexistforthebuildingsinceitisnothandicapaccessible. TheCity’scurrentplanis30yearsold, andMr. Stephensconfirmedtheplanshouldbeupdated. Healsopointedoutthebuildingishandicapaccessible, althoughthemeansarenotthemostideal. TheCityhastheabilitytogetsomeoneupstairsorwheretheyneedtobewithinthebuilding. Thecostof $1.25millionrepresentsanestimateforanoldplantobuildanadditiontoCityHall foranelevatorshaft. Althoughlesscostlyoptionsmaybeavailable, theywillstillbesignificantincost. Mr. Stephenspointedouttheitemsonthe “parkinglot” listaretheitemstheBoardaskedtoplaceonthelist, aswellasitemsstaffrecognizedasprojectsorexpendituresthathavebeenpusheddowntheroad, orthosethathavebeenpreviouslyapprovedandwillneedtobefunded. Asfarasthecommunitycenter, AldermanBestsaidshedidnotseeadireneedforitasthistimeastherearemorepressingissuesinWard5. However, shedoeshopetheBoardwillconsideracenterinthefuture. Fornow, theresurfacingofOaksRoad/NationalAvenueisapriority.

AldermanBengelstatedshesteppedoutafewminutesearliertotakeacallfromAlderwomanHarris, whoapologizedfornotbeinghereandnotedshewasstillworkingwithaclient. AldermanBengelacknowledgeditisdifficultforpeopletosometimespaytheirtaxes, butnotedtheCityhasputofftoomanyprojects. Sheexpressedadesiretoproceedwithcitywidemasspaving. Shefeltitimportanttomoveforwardwithmeetingtheinfrastructureneeds. Althoughitwouldrequireatax

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increase, itwouldallowtheCitytogettheseitemsdoneandmakeitpossibletoconsiderotheritemsinfuturebudgets. AldermanAsteraskediftheBoardshouldidentifywhichitemsonthe “parkinglot” listshouldbeconsideredforfinancing. AldermanBengelstatedherfinancingprioritieswouldincludetheTrentRoadexpansion, OaksRoadresurfacing, OldAirportRoadexpansion, anewfirestation, citywidemasspaving, andtheCityHallelevator. AldermanAsterstatedhedidnotthinktheCitywasreadyforanewstation, towhichAldermanBengelrepliedsheunderstoodtheCitywasnotreadyforthat, butitcouldhavethefundsonhandwhenneeded. However, shewasamenabletoremovingitfromthefinancinglist.

MayorOutlawpointedoutChiefSummerswasnowinattendanceandcouldprovideinformationonthetelecommunicators. ChiefSummersclarifiedtherearethreemainnumbersusedtocontactthePoliceDepartment: 672-4100 (administration), 633- 2020 (allnon-emergentcalls), and911 (emergentcalls). CallsfortheChief, policeofficers, requestsforreports, etc. arereceivedontheadministrativeline. The90,000callsChiefSummersreferencedearlierwerethetotalofallcallsto2020and911. ChiefSummersfeltnon-emergentcallsneededtobehandledbytelecommunicators, andheexplainedinsmallagenciesthereisaneedforsomeonetobetrainedtohandleanytypeofcall. Hesaidcallstendtobeincreasing, whichisagoodthingasthatmeanstherearemorecallsforsuspiciouspersons, suspiciousactivities, etc. AldermanBengelsaidChiefSummersindicatedlastweekthataddingatelecommunicatorwillreduceovertime. ChiefSummersconfirmeditwouldreduceovertimebyone-third, assumingtherearenovacancies. AldermanKinseyaskedwhethertheCity’scallsareupordownandwhethertheCityorCountyreceivesmorecalls, andChiefSummersrespondedtheCitybyfarreceivesmorecalls. AldermanKinseyaskedforacopyofthatdata. AldermanAsteraskediftheCounty’s911centeranswersnon-emergentcalls, andChiefSummersrepliedyes.

AtAldermanBengel’srequest, ChiefSummersexplainedtheneedforanAnimalControlOfficertobesomeonewhoistrained. AldermanBengelaskedifthereisanopportunitytooutsourcethis, andChiefSummersrespondednottohisknowledge. HeexplainedeverytimethedepartmenthasreachedouttotheHumaneSociety, theyindicatetheyarestretchedtotheircapacity. AldermanOdhamaskedaboutthepossibilityofprovidingthemwithfunding, andChiefstatedthatscenariohasnotbeenapproachedwiththem. AldermanOdhamnotedhewasinfavorofleaving25,000inthebudgetandlettingstafffigureoutthebestwaytoproceed.

Withrespecttotelecommunicators, ChiefSummersnotedthedivisionhaslostfourpositionssincehisarrival. MayorOutlawcommentedhedidnotthinkcommunicationscouldrealisticallymergeinthenexttwotothree years. Hequestionedwhetheritwaspossibletodevelopaplanthatdidnotrequiretheadditionoftwoorthreetelecommunicators, butinsteadtheadditionofonetelecommunicatorduringhighpeaktimes. AldermanKinseyaskedifitispossibletoreroutethecalls. ChiefSummersexplainedifNewBern’s911centerisbusy, thecallswillreroutetotheCountywhichwillpickthemupandthenreroutethembacktotheCityasquicklyaspossible. ChiefSummerssharedthebusiesttimeisprobablybetween2p.m.

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and12midnightor1a.m. AldermanAsteraskedaboutthecommunications’ directorposition, andtheChiefdescribedatimeperiodinwhichcivilianpositionswerebeingreduced. Hefeltitbetterforthedepartmenttohaveaswornofficerandexplainedtheflexibilityprovidedbyahavingaswornofficerinthatposition. Ifneeded, hecanpullthatpositiontorespondtoasituationthatmayarise.

Notinghowdifficultthesedecisionsare, AldermanBengelsaiditmaybehelpfultogobacktotheCity’smission, whichistoserveandprotectthecitizens. AldermanAsteraskedhowmuchisspentinovertimebythetelecommunicationsdivision. Mr. SabatellistatedthePoliceDepartment’sovertimebudgetis $225,000. Mr. StephensaskedMr. Sabatellitohavepayrollforwardovertimeinformationforjustthetelecommunicationsdivision.

AldermanBestaskedforinformationontheriverwalkproject, andMr. Stephensprovidedadditionalinformationonwhatisneededforcompletionoftheproject. AldermanOdhamsuggestedtheBoardstartatthetopofthe “parkinglot” listandgothrougheachitemoneatthetime. Thelistwasreviewedasfollows:

FireSpecialists – AldermenBengel, Aster, Best andOdhamwereinfavoroffunding6positions; MayorOutlawandAldermanKinseyexpressedagreementwithfunding3specialistsTelecommunicators – MayorOutlawandAldermanOdhamwerenotinfavoroffundingadditionalpositions; AldermenBest, Kinsey, Aster, andBengelwereinfavoroffunding2positionsAnimalControlOfficer – MayorOutlawandAldermenBengel, Aster, Kinsey, Best, andOdhamwereinfavoroffunding $25,000

AlderwomanHarrisarrivedat2:45p.m.)

AnimalControlvehicle – Everyonewasinagreementtoelementthis. Cemeterypreservationincrease: Inlightofthesmallcostof $5,000, Mr. Stephensindicatedawillingnesstoabsorbthisfromcontingencyandplacetheexpenseinalineitem. AldermanBengelvoicedthepossibilityofsomefundingavailabilityfromtheQuestorsandCollison Memorial. AldermanBengelpointedouttherehasbeenlittletonoattentionpaidtoGreenwoodCemetery, anditwillneedsomeattentioninthenextyearorso. AldermanAsteraskedabouttheneedtoconsiderincreasingthecemeteryfees. Mr. StephensnotedFosterHughes, DirectorofParksandRecreation, isresearchingthis, butincreasesmaynothaveahugeimpact onrevenue. AldermanAsteraskediftheCityispassingalongtheactualcosttoopenandclosegraves, andMr. Stephensstatedhewouldevaluatethis. MayorOutlawandAldermenBengel, Aster, Kinsey, Best, andOdhamwereinfavoroftakingfundingfromanotherlinetime; AlderwomanHarriswasopposed.

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Ward5communitycenter – ThecenterwaspulledfromthelistattherequestofAldermanBest. AldermanBengelsuggestedthisbeputonafutureloanlist, andMr. Stephensnoteditisalreadyonthelistofprojectstopossiblybefinanced.

MayorOutlawpointedouttheadditionalitemsinthe “parkinglot” areallcapitalinnature: Playgroundequipment – Mrs. CullerexplainedMr. Hughesrequestedthisexpenditureafterevaluatingplaygroundequipmentforpossiblerepairorreplacementoverthenext1-3years. TheBoardcanchoosetospendasmuchoraslittleasdesired, ornone. ItwasnotedPierceParkneedstobeclosed. ThoseinfavoroffundingthisthroughfinancingsourceswereMayorOutlawandAldermenBengel, Harris, Aster, Kinsey, Best; AldermanOdhamwasopposedandnotedtheremaybegrantopportunitiesforthistypeofexpenditure. OaksRoadresurfacing (GeorgeStreet, NationalAvenueandOaksRoad) – TheMayorandallsixaldermenexpressedtheywereinfavorofthisproject. TrentRoadExpansion – Mr. StephensrecommendedatthispointtheCityfundonlytheengineering designoftheproject. AldermanOdhamvoicedfavorwithremovingthisitemfromthelist, statingitappearstobecovered. Uponpolling, theMayorandallsixaldermenstatedtheywerenotinfavoroffundingthis. TrentRoadDeveloper – Mr. Stephenssaidthisprojecthasbeenbudgeted, butamethodandmeansforpaymentwillneedtobesecured. Sinceitinvolvesinfrastructure, theprojectwillbepaidforovertime, andMr. Stephensfeltitneededtobefinanced. ThoseinfavorofthiswereMayorOutlawandAldermenHarris, Aster, Kinsey, Best, andOdham; AldermanBengelwasopposed. OldAirportRoadexpansion – TheMayorandallsixaldermenexpressedfavorforthisproject. RiverwalkCompletion – AldermanKinseywasinfavorofthisproject; MayorOutlawandAldermenBengel, Harris, Aster, Best, andOdhamwereopposed. Newfirestation – AldermanBengelwasinfavorofthisproject; MayorOutlawandAldermenHarris, Aster, Kinsey, Best, andOdhamwereopposedatthistime. UnionPointpermanentstage – AldermanAsteraskedwherethesummerconcertserieswouldbeheld, andMr. Stephensstatedthecurrentstagewouldbeutilized. AldermanAsteraskedaboutitscondition, andMr. Stephensstateditisinterribleconditionandtheplansweretoreplaceit. Mrs. Cullerstatedthecurrentstagewouldrequire $5,000-10,000inrepairs, soitwasfeltbesttoputthosefundstowardanewpermanentstage. MayorOutlawaskedifthenewstagecouldbebuiltintimefortheconcertseries. AldermanBengelsuggestedamobilestagebepurchasedinsteadsoitcouldbeusedforothereventssuchastheNewYear’sEveevent. Adiscussionensuedaboutthepossibilityofrentingastage. Mr. Stephensstatedifeventswillcontinuallybeheldonthestage, hisrecommendationistoimproveupon

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whatiscurrentlyinplaceinsteadofrentingastage. AldermanBengelaskedaboututilizingthegazebo, andMr. Stephenswasnotsureiflogisticallythatwouldworkwiththeequipment. Healsocitedthebenefitsofbeingclosertotherestroomsandparking.

AlderwomanHarrisaskedhowlongitwouldtakeforastagetobebuiltandifitwouldbeavailableforthecurrentconcertseries. Mr. Stephenssuggestedrentingastageforthefirstconcertandstarttearingdowntheexistingstage. AldermanBengelagainsuggestedamobilestageandstateditcouldbeusedthroughoutthecommunity byDuffest, etc. Mr. Stephensreiteratedthecurrentstageisinterribleconditionandinaflood-pronearea. Apermanentstagecouldbebuiltwithabrick, curtainedwallandremovableshelter. Thecosttorepairthecurrentstageis $10,000, andthecostofanewstagewouldbeabout $40,000. Thecurrentstageisbuiltofwoodandcannotwithstandthepark’sfloodwaters.

ThoseinfavoroffundingapermanentstagewereAldermenHarris, AsterandOdham; opposedwereMayorOutlawandAldermen Bengel, Kinsey, andBest

AldermanOdhamstatedifanewstageisnotpursued, hedidnotwanttospend $10,000onthecurrentstageandrecommendeditbetorndown. AldermanBengelconcurred. AlderwomanHarrispointedouttheconcertseriesisfreetothepublic, andtheCityneedstomakesurethestageissecure. TheconcertseriesisnotabenefittoWard1, buttotheentirecity. Iftheseriescontinuesinthefuture, theCitywillneedapermanentstagethatcanlastforyears. Sincethisisthefirstyearoftheconcertseries, AldermanBengelsuggestedstaffdeterminethecostofastagerental, rentthestage, seeksponsorstohelpraisefundsforthecostofapermanentstage, determinetheappropriatelocationforthestage, andaddressparking. AldermanHarrissaidwhiletheplanhasbeentoseekpublic-privatepartnerships, theCitywillhavetofrontmoneyfortheseries.

Mr. Stephenslookedupthecostofstagerentalsandannouncedthecostisapproximately $1,000. AldermanBengelannouncedanothersponsorshiphasbeenreceivedfortheconcertseriesintheamountof $5,000, whichAlderwomanHarrispointedoutwillbeusedtowardthecostoftheentertainment. Itwassuggested $7,000beplacedinParksandRecreation’soperatingbudgetforrentalofastageandthatthecurrentstagebetorndown. MayorOutlawandAldermenBengel, Harris, Aster, Kinsey, andBestwereinfavorofthissuggestion; AldermanOdhamwasopposed. LawsonCreekParkfieldlights – TheMayorandallsixaldermenexpressedoppositiontothisproject. Citywidemasspaving – AldermanOdhamasked wherethisexpenditurewouldputtheCity, asasurveycamebackindicatingtheCityisaheadofmostmunicipalities. Mr. StephenssaidMattMontanye, DirectorofPublicWorks,

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wasinattendanceandpreparedtodiscusstheresultsofthereporttoday, whichidentifiesapproximately $4.5millionisneededformaintenanceandsurfacing.

AldermanAstermomentarilylefttheroomat3:18p.m.)

Mr. MontanyesharedaPowerPointpresentationthatprovidedanoverviewoftheresultsofthelateststudy. ThestudywascompletedinJanuary2018, buttheresultswerejustrecentlyreceived. TheCitymaintains183milesofstreets.

AldermanAsterreturnedtotheroomat3:23p.m.)

Theneedforroughly $4.5milliondoesnotincluderesurfacingallofOaksRoad, butprovidesforsomeresurfacingandsomemaintenancesuchaspatching. Thehigh, mediumandlowprioritieswereidentifiedandthecostofeach. Movingforward, a15-yearpavingcyclewouldrequire $3,045,693peryearanda30-yearpavingcyclewouldrequire $1,522,846peryearattoday’sprices. TheBoardwasprovidedahardcopyofthepresentation.

MayorOutlawaskedforthetotaldebtserviceonwhattheBoardhasapprovedthusfar. Mr. Sabatellirespondedtheamountis $3.1millionwithanannualdebtserviceofabout $277,000ona15-yearloan. Thereisnodebtcomingoffinthenextcoupleofyears, accordingtoMr. Sabatelli.

InanefforttogettheCitycaughtup, AldermanOdhamstatedhewasinfavorofapproving $4millioninsteadof $2.5millionforcitywidepaving. TheMayorandallsixaldermenwereinfavorofthis.

CityHallelevator – AldermanBengelstatedsheisnotsureshewouldbeinfavorofanalterationtotheinteriorofthebuildingasshedidnotwanttoobstructtheinteriorfabricofthestaircaseinthisiconicbuilding. TherewerepreviousplansthatproposedanexteriorshaftthatwouldbeneartheMayor’sbathroom. AtAldermanOdham’srequest, Mr. StephensdescribedthediscussionsthatwereheldwithCravenCountyaboutaparkingdeckneartheRegisterofDeeds’ office. Priortoprovidingthisdetail, henotedthereisanoldplanthatwaspreparedinthelate1980’sthatincludedanadditiontothebuilding, whichisthebasisfortheestimatedcostof $1.25million fortheproject. DiscussionswiththeCountyproposedacombined-useCity/CountyfacilitytohousetheCounty’sTaxandpotentiallyRegisterofDeeds’ officeswithaconnectiontoCityHalltoprovidehandicapaccessibility. ThiswasoneoftheproposalsdiscussedasaresultoftheDevelopmentFinanceInitiative. TheCounty putastayontheproposaluntiltheycouldperformaspaceanalysis.

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Alderwoman Harrisaskedaboutthecost ofaseatlift. Mr. Stephensexpressedissueswithaseatliftbecauseoftheconfigurationofthestairsandlimitationssuchasstairheight, weightcapacity, etc. Healsopointedouttheexteriorstepsmakeitdifficulttogetintothebuilding, whichiswhysomeoftheplanswerefocusedonanexteriorapplication. Mrs. CullernotedtheCityisincompliancewithADAregulationsbecausetheregulationsprovideanexceptionforhistoricgovernmentbuildingsthathaveaworkaround.

AldermanKinseybrieflylefttheroomat3:42p.m.)

AldermanBengelsaidaccessibilityissomethingthatwouldhavetobeaddressedsoonerratherthanlater. Shebrieflyreportedonthe “SaveOurStructure” grant, notinganinquiryisunderwayastowhethergovernmentstructuresareeligible. AldermanBengelvoicedshewasamenabletoremovingtheelevatorfromthe “parkinglot” listatthistime.

Theprojectsleftonthelisttotaled $7,100,000, whichwouldyieldanannualdebtpaymentof $634,029pertheworkingspreadsheet. Mr. Stephensexplainedpotentialsourcesforadditionalrevenue, startingwiththemotorvehicletax. Utilizingtheworkingspreadsheet, heshowedtheimpactofvariousincreasesinrevenuesources. AldermanBeststatedshehadaproblemwithraisingtaxes, butnotedNewBern’smotorvehiclelicensetaxismuchlessthanothercities. AlderwomanHarrisstatedshewasnotinfavorofraisingadvaloremtaxesnorthemotorvehiclelicensetax, andsheaskedaboutthepotentialforraisingthesanitationratetomakeitwhole. MayorOutlawnotedanincreaseinadvaloremtaxeswouldbequasiproportionaltoallcitizens, butanincreaseinthemotorvehiclelicensetaxwouldbedisproportionalandregressive. Hestatedhewasnotinfavorofraisingthemotorvehiclelicensetax. Thespreadsheetwasmanipulatedforvariousscenariostoseetheoutcomes.

AldermanKinseyreturnedtotheroomat3:51p.m.)

WithrespecttoOaksRoadandNationalAvenue, AldermanBestsaidshewantedtoseethatprojectcompletedthisyear. Mr. Stephenssaidanoptionistotakethe $700,000budgetedforresurfacingandtacklenothingbutOaksRoadthisyear. Thatwouldmeannootherstreetsareresurfaced. AldermanBestpointedouttheCityhasalwayscharged5forthemotorvehiclelicensetax. Thatwastheratebeforeshestartedworkingforthe

City, andinthe20yearssheworkedinthetaxoffice, theratewasneverraised. AldermanBengelstatedshewasamenabletoincreasingthemotorvehiclelicensefeeinordertogettheroadsfixedandimprovetheCity’sinfrastructure. MayorOutlawandAlderwomanHarrisstatedtheywouldnotvoteinfavorincreasingthemotorvehicletax.

AldermanBengelnotedshehadidentifiedabout $15,000insavingsintheMSDFund.

AldermanBengelaskedhowothersfeltaboutloweringthefundbalanceto30% andusingsomeofthosemoniestopayforprojects. AldermanOdhampointedoutthatwouldbeaone-timething. Mr. Stephenscautioned decisionsarebeingmadebasedonagood

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economy. Ifa “2008economy” weretooccur, theCitywouldhavetotakesomemeasures. Therefore, itisimportanttostrategicallythinklong-term. Mr. Sabatellipointedoutproblemswithusingfundbalanceforrecurringexpenses, noting it isnotarecommendedpractice.

AldermanKinseyleftthemeetingat4:13p.m.)

AldermanBengelcalledattentiontothefactthat salaryadjustmentshad notbeenaddressed. AldermanOdhamnotedthenetdollaramountbudgetedforincreaseswouldbeenoughtopayforthedesirednewemployees. AldermanHarrissaidshewouldrathertakecareofthecurrentemployees. AldermanOdhamsaidasapointofclarification, changingthesanitationrateisessentiallyraisingtaxes. AldermanBengelsaidshewasnotawaretheCitywasstillsubsidizingsanitation, asshethoughtthelastincreasemadeitwhole. SheremarkedtheCitydoesnotsubsidizeotherservicessuchaswater. Mr. SabatelliexplainedthesanitationdiscountfortheelderlyandhowthediscountwouldhavetobefundedthroughadirectioncontributionfromtheGeneralFundatapproximately $25,000ayear. Mrs. Cullerconfirmedgrowthandrevenuegrowthwereincludedintherecommendedbudget.

MayorOutlawquestionedhowthesalaryadjustmentswouldbedistributed. AldermanAsteraskedhowtheCityManagerwouldhandleraisesthisyearusingthesameamountofmoneythatisinthebudgetanddoingawaywiththequartilesystem. Mr. StephenssaidheandMrs. Cullerhavenothadtimetolookatothersystems, butiftheBoardisamenable, heisamenabletothisyear’sincreasebeingperformancebased. Alimitof “x” amountoffundscouldbeappliedperdepartmentwiththeDepartmentHeadsevaluatingtheperformanceoftheiremployeesanddecidinghowtodistributetheirallotmentoffunds. AlderwomanHarrissaidshewouldbecomfortablewiththat, butshewantedallemployeestogetaraise. Shefurtherdiscussedacost-of-livingadjustment (“COLA”) versusmeritincrease. AldermanBengelaskedMr. Sabatelliwhatwouldequateto1% oftheCity’ssalaries, andMr. Sabatellireplied $230,000. AldermanBengelaskedifallemployeescouldaget1% COLAandtheadditionalbudgetedamountbeusedformeritincreases, notingthismightbeaneasierway. Thisalsoallowsforeveryonetogetsomethingandwhiletherewillbeotherswhogetmorebasedontheirperformance. Mr. Stephenssaidthosewhohavebeenwrittenuporarenotperformingwellshouldnotgetanincrease. AldermanHarrisrespondedthosejustdoingtheirjobsdeservesomething, andthosegoingaboveandbeyondshouldgetamerit. Shefavoredtheideaofeveryonereceivinga1% increasewithdeservingemployeesgettinganadditionalmerit. AldermanAsteraskedabouttheDepartmentHeads’ inputandwhethertheywouldratherseethe1% COLAacrosstheboardwithasmallmeritincreasetothemostvaluableemployees. Mrs. Cullerannouncedthebudgetedfundswouldequalatotalof1.8% foreveryoneifthebudgetedfundswerespreadouttoallemployees.

AlderwomanHarrispointedouttheBoardhadpreviouslytakenactiontobringidentifiedemployeesuptothesalariesrecommended inarecentstudy, andshequestionedwhetherthequartilesystemwasstillneeded. Mr. Stephensagainreviewedthepointofthequartilesystem, whichwastobringnewemployeestothemidpointasquicklyas

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possible. ThiskepttheCityfromlosingemployeestoothercitiesthatofferedhigherstartingsalaries, especiallyaftertheCityhadinvestedsomuchintheirtrainingandeducation. AldermanBengelthenaskedofthe $400,000thatisbudgetedforraiseshowmuchofthatcomesfromtheenterprisefunds. Mr. Sabatellistated $271,000wasfromtheGeneralFundand $131,000fromwater, sewerandelectric.

MayorOutlawaskedforthoughtsonthelastproposaltotheworkingspreadsheet. AldermanOdhamsaidhewasopposedtothelastproposalashewasnotinfavorofthe5increasetothemotorvehiclelicensetax, normovingsanitationtoanenterprisefund.

Hestatedifeverythingwastakenoutoftheproposalexcepttheadditionalfiremenandtelecommunicators, $25,000forACO, andifthetrashfeeweremadewholetheCitywouldhavetherevenuetocoverthesebyapplyingthe $200,000incontingency. MayorOutlawsaidhewasinfavorofthe3firemenpositions, butopposedtheincreaseinthemotorvehiclelicensetax. AldermanAstersaidhewasinfavorof6firefighters, butwouldnotwanttoincreasethemotorvehiclelicensetax. However, hefeltaone-time $5annualfeewasnotbad, althoughitonlyyielded $125,000inadditionalrevenue.

Mr. Stephenssuggestedstaffgobackandreviewthebudgettoseewhatadditionalfundstheycanfindbasedondebtthatcanbetakenoutthisyearandthroughoperationallytrimmingthebudget. “Debtthatcanbetakenout” wasexplainedasalloftheprojectstheBoardapprovedlessthe $4millionforcitywidemasspaving. AtMr. Stephens’ request, Mr. SabatellireviewedthelistofitemstheBoardhasapprovedatthispoint: 6firemen, 2telecommunicators, $25,000for ACO, $5,000forcemeterypreservation, OaksRoadresurfacing, TrentRoadDeveloper, OldAirportRoadexpansion, and $7,000fortheUnionPointParkstage. Theseprojectsamountto $232,180inestimatedannualdebtservice, 456,460inrecurringcashitems, and $2,179,500inone-timefunds. Mr. Stephensstated

thiswouldnotrequireanincreaseinadvaloremtaxesorthemotorvehiclelicensetax, butthesanitationratewouldgoupto $14.75. Mr. Sabatelliexplainedtheimpactonthegeneralfundbymakingsanitationanenterprisefund. MayorOutlawsaidatthistimehewouldratherhavea25% fundbalancethana38% balanceinordertomovetheCityforward, andAldermanBengelagreed. AldermanAstersaidtheonlythingthatconcernedhimwastheapproachofhurricaneseason. AldermanHarrissaidshedidnotwanttogetinthehabitofconsideringbudgetamendmentsthroughouttheyear, asthatdefeatsthepurposeoffindingthefundsnow.

Ifthegeneralfundbalancedroppedto25%, Mr. Sabatellistated thatwouldleaveapproximately $4milliontospendincash. Mr. Sabatellicautionedthatamajorhurricanewouldinstantlyexhaust $1.25million, thusdroppingthefundbalancebelow25%. Itwouldtakeawhiletobereimbursedthatmoney. AlderwomanHarrisaskedwherethefundbalancewouldstandif $2millionwasutilizedforcitywidepavingandapproximately150,000forcareoftheparks. Inresponse, Mr. StephensaskediftheBoardwere

amenabletostaffbringingbackabalancedbudgetbasedona30% fundbalance, movingsanitationtoanenterprisefund, andmakingprovisionsfortheapprovedprojects. MayorOutlawaskedabouttheamountoffundbalancepreferredbyfinancialinstitutionsandbondratingagencies, andMr. SabatellisuggestedtheCitystayaround25% andnotedtheLocalGovernmentCommissionrequires8%. MayorOutlawaskedforahistoryof

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fundbalanceoverthelastthreeyears, andMr. Sabatellirespondedhedidnothavethatonhand.

Basedonthedecisionsmadeatthismeeting, Mr. Stephenssaidhehadallconfidencethathe, Mrs. CullerandMr. Sabatellicouldfinalizeabudgetwithinadayortwo. Hecouldthensharethatinformationwitheveryoneandifthereisanamenableresponse, apublichearingcanbeheldonMay22, 2018withapprovalofthebudgetscheduledforthefirstmeetinginJune.

AldermanOdhamexpressedconcernwithhowmuchtimetheBoardhadspentonthisbudget, notingstaffdidagoodjoboftrimmingthedepartmentalrequestsandpresentingtotheBoardabalancedbudget. Essentiallyallofthetimespentonthebudgetboilsdowntotheadditionofsixfiremenandacoupleoftelecommunicators. Thepubliccomplainsaboutfiremen, butthereislittleheardabouttelecommunicators. AldermanOdhamsaidhewasconcernedfornextyearandthefollowingyears’ budgets. AldermanHarrisaskedifthetelecommunicatorscouldbetakenoutsincetheBoardisnothearinganycomplaints. Mr. Stephenssaidthebudgetiscurrentlyabout $208,000shortbasedontheBoard’sapprovedlistofitems. BasedoninformationfurnishedbyChiefSummers, Mr. Stephensreportedapproximately $60,000 isspentannuallyonovertimefortelecommunicators. Theadditionofonepositionwouldpossiblycuttheovertimebyathird, whichwouldyield $20,000towardtheadditionalposition.

AldermanBestleftat4:53p.m.)

2. ConductaPublicHearingontheProposedBudgetforFiscalYear2018-19.

AldermanBengelmadeamotiontocontinuethepublichearingontheproposedbudgetforFiscalYear2018-19untilMay22, 2018, secondedbyAldermanOdham. Themotioncarriedunanimously. AldermenKinseyandBesthadleftthemeeting, thusbothtechnicallyyieldinganaffirmativevote.

3. Adjourn.

Alderman Odham madeamotiontoadjourn, secondedbyAldermanAster, timebeing4:56p.m.

Theattacheddocumentsareincorporatedherewithandareherebymadeapartoftheseminutes.

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NOTE: For additional details and information on the Board of Aldermen meetings, pleasevisit the City of New Bern' s website at www.newbern- nc.orq. Video and audio recordings

of the meeting have been archived.

Minutes approved: June 12, 2018

i/ ,

Dana E. Outlaw, Mayor

i' 1', Q, YI(, - GL 1CC

Brenda E. Blanco, City Clerk

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