APRIL 12, 2021 (RECESSED MEETING AND FIRST BUDGET WORKSHOP) Minutes of the recessed meeting and first budget workshop of the Mayor and Board of Commissioners of the Town of Elkin, April 12, 2021, 5:00 p.m. at Town Present: Mayor Sam Bishop, Commissioners Cicely McCulloch, Robert Ball, Jeff Also present: Town Manager Brent Cornelison, Assistant Town Manager and Director of Recreation and Parks Adam McComb, Finance Director Dina Reavis, Public Works Director Travis Butcher, Police Chief Monroe Wagoner, Fire Chief Kevin Wilson, Economic Developmenuramning Director Leslie Schlender, Town  Hall.  Eidson, Will Gwyn and Tommy Wheeler.  Attorney Raymond Parker and Town Clerk Cathie Tilley.  1. Call to Order (Mayor Bishop)  Welcomed everyone and reconvened the recessed meeting. Turned the meeting over to Town Manager Cornelison  Town Manager Cornelison: together. $15,000.  Spent lot of time with department heads putting this Received a request after Board Retreat from YVEDDI for Consensus of the Board was to not fund this  request.  2. Summary of General Fund and Water Fund (Town Manager Comelison)  Water Fund:  Revenues - $1,457,634 Expenditures - $1,376,674 Revenue (Shortfall) Overage - $80,960 Does not include West Elkin tank will need in the next fiscal year $25,000-930,000)  Should be less than this figure, sO we will know what we Might come down twenty-five to thirty thousand dollars John and I had discussed paying the Public Works Director one- half from the Water Fund and one-half from the General Fund This is how that position will be paid going forward  Ronda:  Includes increasing rate to $7.00  Result will be an increase of $23,000  Have not heard anything from their study (analyzing Elkin taking ownership of their water system and Elkin providing contract operation and maintenance services) No debt service for West Elkin project in these figures  General Fund:  Revenues - $5,573,713    Expenditures $5,562,962 Revenue (Shortfall) Overage - $10,751 for the town's Fund Balance.  In discussions, staffv was asked about a targeted number Staff believes fifty percent (50%) is a reasonable target figure, and we will continue to work toward  that amount.  Tax Rate Necessary to Have Zero Balanced Budget: Projected tax base (net) incl. motor vehicles $502,877,604 Every one cent ini tax rate equals - $50,288 Increase (decrease) in tax rate to balance budget - ($0.002)  3. Capital Request Included  Priorities from Board totaled $140,000  Finance:  Server hardware/software upgrade - $ 12,500  Economic Development: Gateway sign - $25,000 Police Department: Walkie talkies - $6,888 In-car radios - $12,321 In-car computers $9,000 Duty weapons - $20,000 New station design - $7,000  Fire Department: Recreation and Parks: Airport: Water & Sewer:  Parking lot repave & stripe (Rec Center and drive) - $64,000 Matching capital projects for grants - $16,667 High service pump replacement - $60,000 Total Capital Outlay Budgeted - $233,376  4. Departmental Cuts  Finance:  o Server hardware/software upgrade - $12,500 Heritage Center It Starts with a River - $22,000 Library parking paving-$10,000 Edraulic strong arm tool RAM - $32,000 Lucas CPR machine $17,000 SCBA (air packs) - $17,200 SCBA bottles - $3,000 Sets of turnout gear - $27,500 Camper shell - $2,500 800 mobile radio- -S $2,200  Economic Development: Public Buildings: Fire Department:  Page 2 of 4    VHF mobile radio : $1,500 Radio console $3,500 Emergency lights - $5,000 New station design-$ $7,000 Streets and Highways: John Deere backhoe- -$110,000 Chipper - $30,000 Recreation and Parks: Gator- - $11,000 Columbarium $25,000 Fitness equipment- - $10,000 Total Departmental Cuts - $463,900  Baseballsoftball field #1 re-lamp -S $30,000  Water Plant cistern/stirring tank removal - $85,000  5. Insurance and COLA/Merit Raises Included:  Cut $30,000 from part-time salaries in the Fire Department This will probably continue to go down Adam (McComb) cut 25% off his programs  Will split Travis' salary Budgeted:  Police Department cut $4,000 from operating expenditures Ten percent increase in health insurance Average 3% merit increase Will be2-2.5%  6. Property Tax:  Expecting 1.6% growth in tax base $.55/$100 valuation)  Budgeted property tax revenue - $2,572,522 (using current tax rate of  7. Next Steps:  Revenue and expenditures depend on insurance and property tax Either of these could change Willl bring to you in May the budget message and proposed budget Will set public hearing in June to adopt the budget Water Fund numbers will come down Powell bill budgeted $105,000  8. Recovery Act Funds:  We have 1.17 million dollars coming to us Provided a sheet with information on how to spend these appropriations (copy included as Exhibit A) Read through the uses of funds  Following discussion, there was recommendation from staff to set upa a Once we get a better idea of what we can use these funds for, set aside a work day to decide what we want to spend this on Town Manager Cornelison suggested spending this on big ticket items  Special Recovery Fund  Page 3 of 4    Before we make decisions, we need to have a better idea of what we can and what we cannot spend this money for  Mayor Bishop said we need to go into closed session in accordance with NCGS143-318.113) legal. Commissioner McCulloch made a motion to go into closed session as requested. There were no questions. Upon a second by Commissioner Gwyn, the Board went into closed session at 5:30 p.m. The Board returned to the recessed meeting (budget workshop) at 5:50 p.m. Mayor Bishop reconvened the meeting. There being no further business, a motion by Commissioner Wheeler to adjourn was seconded by Commissioner McCulloch and was unanimously approved. The meeting adjourned at approximately 5:50  p.m.  1 0 Sam Bishop, Mayor  Attest:  Aic. Sa Catherine C. Tilley, Town fleck  Page 4 of 4