TOWN OF COATS Board of Commissioners Thursday, May 11,2023 Official Minutes  The Town of Coats Board of Commissioners met in regular session on Thursday, May 11,2023 at 7:00  p.m. in thel Board of Commissioners' Meeting Room at Coats Town Hall.  Members Present: Mayor Chris Coats Mayor Pro-Tem Jerry Beasley Commissioner Marc Powell Commissioner Kelvin Gilbert Commissioner Shirley Allen Members Absent: Commissioner Allen Mosby LCALLTOORDER  Others Present: Nick Holcomb, Town Manager Al Bain, Town. Attorney Connie Lassiter, Finance Director/Town Clerk Ken Storicks, Chief of] Police Mike Collins, Parks and Recreation Director  A quorum being present, Mayor Chris Coats called the meeting to order at 7:00 p.m. Mayor Coats delivered thei invocation and led those in attendance in the Pledge of Allegiance. Mayor Coats requested to amend the agenda by moving Consent Agenda Item D "Audit Contract" tol New  Business Item E.  RESOLVED, to approve Agenda as amended. APPROVED: 4-0, unanimously approved  MOTION BY: Commissioner Kelvin Gilbert, SECOND BY: Commissioner Shirley Allen  II. CONSENT AGENDA  A. Approval ofl Minutes - April 13,2023  B. Approval of Attorney Bill - Services Rendered April 1-30, 2023  C. Approval of] Payment - WithersRavenel Invoice #164554 (Water System Project)  D. Removed from Consent Agenda  E. Approval of Budget Amendment #7 - McKinley Point Revenue RESOLVED, to approve Consent Agenda as amended. APPROVED: 4-0, unanimously approved  MOTION BY: Commissioner Marc Powell, SECOND BY: Commissioner Kelvin Gilbert  1    III. PUBLIC FOROM Forum.  Mayor Chris Coats opened the Public Forum; and after hearing no one, Mayor Coats closed thel Public  IV.NEW BUSINESS  A. Library Invoice & Budget Amendment #6  Nick Holcomb, Town Manager, explained that al budget amendment was needed to cover the Library expenses from July 1,2022 through August 15, 2022 which was the time before the Library consolidation occurred. He noted that he tried to lobby the County to pro-rate the invoice because the Town had only budgeted for the contracted expense of $36,038 due to expectations of the consolidation taking effect on. July 1,2022 which did not happen. Town Manager Holcomb noted that a copy ofthe County Attorney's email response rejecting the pro-rated invoice was  included in the agenda packet.  RESOLVED, to approve Budget Amendment #6 and payment of Harnett County Library invoice. MOTION BY: Mayor Pro Tem Jerry Beasley, SECOND BY: Commissioner Shirley Allen  APPROVED: 4-0, unanimously approved  B. Amendment of Grant Project Ordinance for ARPA Coronavirus SLFRF  Nick Holcomb, Town Manager, explained that the amendment was to change the timeframe to cover thej period of April 1, 2021 through March 30, 2024 to allow the' Town to reimburse itself for expenditures more quickly and that this timeframe corresponds to the annual US Treasury reporting requirements. Mr. Holcomb noted that Section 9 was added toj provide clear instruction regarding transfers out of the APR revenue fund to satisfy auditing purposes; and he added that representatives from both the League and Mid-Carolina COG recommended proceeding with this  strategy.  RESOLVED, to approve the amended grant project ordinance.  MOTION. BY: Commissioner Kelvin Gilbert, SECOND BY: Commissioner Shirley Allen  APPROVED: 4-0, unanimously approved C. Interfund Transfer for ARPA Funds  Nick Holcomb, Town Manager, conveyed that it was important tol have a separate, clear motion from the Board for a transfer this large since there was no precedent. Mr. Holcomb explained that this transfer would bei in the amount of $665,513.24 for the qualifying law enforcement salaries and benefits expensed from April 1,2021 through March 31, 2023 to the water fund which would assist with the purchase and installation oft the AMI meters. The balance of the ARPA Funds in the amount of$131,230.76 would be expensed, reported and a request for  transfer would be made this time next year.  2    RESOLVED, to approve interfund transfer of ARPA funds to water fund.  MOTION BY: Commissioner Kelvin Gilbert, SECOND BY: Commissioner Marc Powell  APPROVED: 4-0, unanimously approved D. Repair or Demolish Order - 105 E Washington St  Town Manager Nick Holcomb informed thel Board that the timeline had expired on the order to repair at 105 E Washington St and added that the house was not livable as oft today but that there had been some work done, i.e., all the windows had been repaired, roof patching and sealing had been done as well as work on the water heater and some oft the sub-flooring. Mr. Holcomb asked the Board to consider extending the property repair deadline, with the following conditions:  Must have building permits  Property must remain in a state ofr repair; no stopping of work for more than 10 days Final date for all repairs to be completed, conforming to the North Carolina building code and ready for occupancy would be no later than September 1 with no further extensions Mr. Holcomb made known to the Board that Ben Dixon was present ift they desired tol hear updates regarding the management oft the project at this property. Mayor Chris Coats asked Mr. Mr. Ben Dixon stated that as oftoday hel had been given permission to start moving forward with taking over the management oft the project from his father who is the owner. Mr. Dixon informed the Board that a general contractor would come in, pull the permits for the renovation and proper qualified persons would repair the property int the timeframe that was, just discussed. Mr. Dixon Commissioner Kelvin Gilbert asked ifit would bej possible to complete the project ift the Mayor Pro-Tem Jerry Beasley asked ifa certified contractor would bel hired, and Mr. Dixon RESOLVED, to extend the deadline with the conditions aforementioned by Town Manager MOTION BY: Commissioner Marc Powell, SECOND BY: Commissioner Shirley Allen E. Approval of Audit Contract - S. Preston Douglas & Associates, LLP for Year Ending June 30, Town Manager Nick Holcomb informed the Board that an error was found in the audit contract that was in the agenda packet, sO the item was moved from consent agenda to give opportunity to Connie Lassiter, Finance Director, explained that she contacted the auditor toi inquire about the price on the original contract because it conflicted with the amount listed on the proposed three-  Dixon to come forward to speak.  said he appreciated the Boards' consideration ofthe extension. extension was given, and Mr. Dixon answered it would be possible. replied yes that a certified contractor would be hired.  Holcomb.  APPROVED: 4-0, unanimously approved  2023  explain the discrepancy.  3    year contract that was approved last year. The auditor responded that he had forgotten that a proposal was done last year and sent an amended contract. Ms. Lassiter said that the only change tot the original contract was on page 7 which was given to the Board before the start oft the  meeting which showed the revised amount of$11,400. RESOLVED, to approve the audit contract as amended to $11,400.  MOTION BY: Mayor Pro-Tem Jerry Beasley, SECOND BY: Commissioner Kelvin Gilbert  APPROVED: 4-0, unanimously approved  V.I PROPOSED BUDGET  A. Presentation of Proposed Budget  Nick Holcomb, Town Manager, introduced the proposed budget and highlighted the following:  Proposed budget is balanced Focused on keeping up with inflation and salaries Noi increase in water or solid waste fees Not tax increases  Mr. Holcomb mentioned that no unappropriated surplus was used to balance the budget and noted that the increased interest revenue was a factor. Mr. Holcomb warned the Board not to get too comfortable with thei interest increase because it would probably come back down this time next  year, but there would be some expenses coming off next year to offset.  B. Budget Calendar and Setting Public Hearing  Town Manager Nick Holcomb suggested that the Board reconvene to discuss this budget and allow more time for feedback and mentioned that May 25 was listed on the budget calendar for an After discussion amongst the Board with regards to conflicting schedules, it was decided that the Board would reconvene on May 18 at7:00pm to further discuss the budget and thel Public Hearing for the Proposed Budget would be June 8 during the regular monthly meeting.  additional budget workshop ifi needed.  VI. MANAGER & DEPARTMENT UPDATES  Wesley Blount, Public Works, expressed his appreciation to the Board for allowing the purchase ofthe Ground Penetrating Radar and mentioned that it had already saved the Town money with recent use in locating ai few major water leaks by preventing cuts int the road. Mr. Blount explained how the diagrams  that were included the agenda packet were used in locating lines.  A. Review of Financial Statement There were no questions or comments.  4    B. Update on Hardcourt Resurfacing Project  Mike Collins, Parks and Recreation Director, presented thel Board with a quote from North State  Resurfacing in the amount of $58,000: fort the following proposed work:  $8,000- - Chip Seal $30,000 - Asphalt 2" overlay  $20,000- - Surfacing (AR, Single Coat Color, basketball lines, pickleball lines) Mr. Collins stated that the cracks in the existing asphalt were the only concern which was the reason for the $8,000 chip seal that was included int the quote which put the project overbudget. Mr. Collins expressed that the chip seal was necessary toj prevent cracking under the overlay. Police ChiefKen Storicks reported to the Board that he was int the process ofhiring an officer to fill the current vacancy and that she would be training over the summer and then serve as the SRO officer when Town Manager Nick Holcomb informed the Board that the engineers are about thirty percent through on the design for the waterline replacement and DOT was going to allow an open cut across. Main Street  school starts back.  which will save money on the engineering design work and contract work.  VII. ADJOURN  Mayor Chris Coats called for a motion to adjourn.  RESOLVED, to adjourn.  MOTION. BY: Commissioner Marc Powell, SECOND BY: Commissioner Kelvin Gilbert  APPROVED: 4-0, unanimously approved Meeting adjourned at 8:02 p.m.  The attached documents of reference are incorporated herewith and are. hereby made aj part oft these  minutes.  Chl Connie Lassiter, Town Clerk  Chris Coats, Mayor hL  5