6327  The Smithfield" Town Council reconvened its May 3, 2022 meeting on Tuesday, May 10, 2022 at 6:30 pmi int the Council Chambers oft the Smithfield" Town Hall, Mayor M. Andy Moore presided.  Councilmen Present: Mayor Pro-Tem Dunn Marlon Lee - District1 1 Travis Scott, District3 Dr. David Barbour, District4 Stephen Rabil, At-Large Roger Wood, At-Large  Councilmen Absent  Administrative Staff Present Michael Brown, Fire Chief Ted Credle, Public Utilities Director Lawrence Davis, Public Works Director Gary Johnson, Parks and Recreation Director Timl Kerigan, Human Resources/PIO ITD Director, Eric McDowell Shannan Parrish, Town Clerk R. Keith Powell, Chief of Police Greg Siler, Finance Director Stephen' Wensman, Planning! Director  David Stevens, District2 Michael Scott, Town! Manager  Reconvene: May 3, 2022 Meeting Mayor Moore reconvened the meeting at 6:30 pm  1. General Fund a. Revenues  Town Manager Michael Scott reviewed the FY 2022-2023 Revenues with the Town Council. He explained that property taxes were the largest revenue source for the General Fund. He further explained that 3 other. Johnston County communities have al higher property tax rate thent the Town of Smithfield. He informed the Council that by increasing the property rate from $. 571 to $.58it Councilman Barbour questioned whent the Town would realize additional property tax revenues: as itrelated tot the Town's growth. The Town! Manager responded thatt the Town wouldr not realize any Councilman Scotto questioned thel Local Option Sales Taxi revenue. The Town Manager responded thate event though the Town of Smithfield is a large generator oft that tax, the Town does not receive alot of those funds. Johnston County decides how that tax is distributed and it is based on The Town Manager explained that Parks and Recreation and the Aquatics Center revenues have Grant- GHSP: The Town! Manager explained this was the lasty yeart the Town wouldr receive funding Fund Balance Appropriation: $1,092,000 was appropriated for the purchase oft the Rescue Truck Transfer toF Firel District: The Town! Managere explainedt therev was a one-time windfalli int that revenue line due tor rural fire tax district and taxes on vehicles. Finance Director Greg Siler explained these Mayor Pro-Tem Dunn questioned ift the County First Responder Fees covered the cost for the Town's firstr responders. The Town Manager responded thosef funds do payf for whatf for responders Councilman Barbour questioned if the Town primary service area expanded would the Town receive more funds from the County for First Responders. Fire Chief Mike Brown responded the Occupancy and' Tourism Tax: The Town! Manager explained the Town keeps 2% for administration Mayor Pro-Tem Dunn questioned how the County uses its 3% Occupancy Tax. The Town! Manager responded those funds are not divided equally among the municipalities int the County. The Town Manager further statedt that AirB&Br rentals arer running unregulated, butt they are payingt thatt tax. Cell Tower Rental: Councilman Rabil questioned ifthe Towny was going to renew that agreement.  would add approximately $118,400 inr revenue tot the General Fund. additional property tax revenues until certificates of occupancy were issued.  population.  increasedi to pre-pandemic levels. from this grant.  fort the Fire Department and new Sanitation' Truck. funds would be used for Fire Department operations  do outsidet the Town limits.  Town's funding is based on the County's Fire Districts.  Mayor Moore stated the County was considering redrawing the Fire Districts. cost andi the remainder goest tot the Johnston County Visitors Bureau.  The Town! Manager responded that the agreement is renewed annually.    6328  b. General Government Included thet following:  Town! Manager Michael Scott! highlighted the General Government's FY: 2022-2023 budget which  Salaries: These potions are splite evenly between thet three funds. Audit Fees: There was a $2,000 increase in this line.  Group Insurance: 6% proposedi increase, but final figures have not been obtained. Supplies/IT: Everything has been removed from this line and into a new IT Department Capital Outlay: $10,0001 isp proposed int the! budgetf for new chairs int the Council Chambers. Councilman Scott questioned the current reserve fund balance. The Town Manager responded there was a 92% fund balancei in the General Fund. After the purchase oft the rescue truck for the Fire Department and the sanitation truck, 70% will remaini int the General Fund Balance. Councilman Scotto questioned! how mucho ofthe Fund Balance was restricted. Finance Director Greg Siler responded that the 92% included unassigned and assigned fund balance. DSDC - Councilman Scott questioned the total amount that DSDC would receive. The Town Manager responded they would receive $151,460. The Town increased the amount of its contribution because ofthe decrease inr moto vehicle tax. They asked for an additional $3,000but Ava Gardner Museum and the Public Library of Johnston County and Smithfield - The Town Manager explained that both of these organizations requested additional funding, but those SHARP Reimbursements- - The Town! Manager explained this line wouldi increase: significantly with Triangle East Chamber of Commerce - Councilman Scott questioned if the Chamber had requested funding. The Town Manager responded they had requested $4,000, but it was not Finance Director Greg Siler highlighted the Finance Department's FY 2022-2023 Budget which  budget  Non-Departmentals that was not funded  requests were noti included int this budget. Amazon, buti it woulds still be a net gainf for the Town.  included int the budget. d. Finance included the following:  Training & Education: 23% increase int this line duei tot ther need for additional stafft training. Capital Outlay: $8,000 was budgeted int this line for replacement chairs at the collection  window and tor renew the Debtbook Software.  Finance Director Greg Siler explained that with the new audit requirements for leases, the Debtbook software will assist with that requirement and also track the Town's debt. Town! Manager Michael Scott informed the Council that this was a new Department being proposed int the FY 2022-2023 Budget. Since General Funds cannot be comingled with Enterprise Funds, IT Director Eric McDowell highlighted the Finance Department's FY 2022-2023 Budget which Capital Outlay: $46,700 isi included int this line for phone system upgrade. Councilman Barbour questioned ift the Town had considered using authenticator. IT Director Eric McDowell responded that everyone would be using authenticator by the end oft the year. Mayor Moore questioned ifthe Town couldI leverage the County's position fora a cost savings ont the Town's phone system. IT Director Eric McDowell responded he would speak to the County to Councilman Barbour questioned ifs staff had considered eliminating the phone system for a web- based system. IT Director Eric McDowell responded that option had been considered, but it requires too much bandwidth and would bet too expensive tor movet to a cloud-based system. Mayor Moore suggested working with other Townst tos seei ifa cost savings could! be realized fort the  Information Technology (IT)  separate ITI lines have been included int those respective budgets.  included the following:  determine ifity was feasible to partner with them.  phone system.    6329  Planning  Planning Director Stephen) Wensman highlighted the Planning Department's FY 2022-2023  Budget whichi included the following:  Service Contracts: There was an increase in this line due to having the Unified Councilman Barbour questioned ifit was time for the Town of Smithfield tol have a full-time Code Councilman Lee statedr more effort needed to be made into Code Enforcement. Planning Director Stephen Wensman responded that Code Enforcement was complaint based. The Town! Manager statedt the Council should decide what level of code enforcement they want. Int the summer, there is a part-time employee that only deals with grass complaints. Councilman Barbour stated ity was important that the Council bei informed ofk known complaints. Planning Director Stephen Wensman informed the Council that the Planning Board adopted a Chief of Police R. Keith Powell highlighted the Police Department's FY 2022-2023 Budget which  Development Ordinance codified and hosted by MuniCode  Enforcement Officer.  resolution seeking a full-time Code Enforcement Officer.  Police included the following:  Training and Education: 26% Decrease in this line because there were no costs Professional Dues & Fees: Increase int this line due to ani increase in psychological evaluations needed for new hires and promotional assessments for upper Service Contracts: 17% increase in this line due to Verizon Connect licenses and Items Requested but not included in the budget: UTV Replacement $ 25,000, Replacement Generator $1 145,000, Funds for Drug Enforcement: $5 5,000  associated with the CALEA reaccreditation.  management position. clouds storage.  Fuel: 68% increase ini this line due tot the rising cost of fuel.  ChiefF Powell informed the Councili itwas difficultt tor recruit and retain Police Officers. He explained that without competitive salaries and at take home car program, itwas impossible to compete with Councilman Scott questioned ifthe 4 additional patrol vehicles would help with thet take home car program. Chief Powell responded the 4 additional patrol vehicles would allow the Police Mayor Pro-Tem Dunn questioned how the take home car program would work. Chief Powell Councilman Barbour questioned if the Police Officers wanted take home cars or increased Town Manager Michael Scotti informed the Council that the area schools had been notified that the Town would no longer be providing School Resource Officers because they were needed on Councilman Barbour questioned why there weren't salary increases included in the budget. The Town Manager responded the Council requests a status quo budget. Any salary increases are Councilman Scotts stated the Town needed to offer competitive salaries for all its employees. Councilman Scottr made a motion, seconded by Councilman Wood, that the Council show support to our employees in an effort to make the Town of Smithfield jobs equal to the currentr market. Directs staff (Town! Manager, HRI Director, Finance Director and Department Heads) meeta and conduct ar recommended salary adjustment; comparing each position to the local market. Staff will bring back this information to Council for final approval. For budgetary purposes, salary adjustments should not exceed $680,0001 int the general fund, $105,000i int the electricf fund and $105,000i int the water/sewert fund. For planning purposes, $890,000: shouldb ber reservedi ini thel budget fors salary adjustments. Unanimously approved. Councilman Wood questioned Councilman Scott's expectations. Councilman Scott responded he would like tos see salaries comparable with the local market. Compression among employees should be avoided and Department Heads should consider their employees before themselves.  other agencies.  Department to operate at take home car program. responded he has a draft policy ready for Council approval. salaries. Chief Powell responded they needed both. patrol. Currently, there were 42 sworn officers. proposed and approved by the Council.    6330  Mayor Moore stated Smithfield was a community of 13,000 citizens. The growth that is coming Councilman Scott statedt this was an opportunity for the Council to correct employee salaries. Mayor Pro-Tem Dunn questioned if other employee benefit options had been investigated. The Town Manager responded he had investigated the option of paying insurance benefits after retirement and 25 years of service. The retiree would remain ont the Town's medical insurance until he/she became Medicare eligible. No insurance supplement would be offered after the Councilman Scotts statedt the Council needed tos show the employees they are valued. The Town has healthy fund balances and is in a good enough financial position to consider competitive Mayor Pro-Tem Dunns statedt the Town even though the Town does have healthy fund balances, employee costs are reoccurring. Employees need tob be compensated, but the Council should be  has not been realized yet.  employee became Medicare eligible. salaries for alli its employees.  cautious.  Recess  Councilman Scott made ar motion, seconded by Mayor Pro-Tem Dunn, to recess the meeting to Monday  May 16, 2022 at6 6:30 pm. The meeting recessed ata approximately 9:20 pm.  M. Andy Mopfe, Mayor  OF SMTEFEI  - ERL 1  Saaibik Shannan L. Parrish, Town Clerk