AGENDA Sawmills Town Hall Tuesday, June 20, 2017 6:00 pm  Regular Meeting of the Sawmills Town Council  1. Call To Order 2. Invocation 3. Pledge of Allegiance 4. Adopt Agenda 5. Approve Meeting Minutes 6. Public Comment 7. Recognitions: A. Recycle Rewards 8. Public Hearing: FY 2017-2018 Budget A. Open Public Hearing B. Staff CommenyRcommendtions Public Comment D. Close Public Hearing E. Council Action 9. Financial Matters: 10. Discussion:  Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson Mayor Joe Wesson  A. May 16, 20171 Regular Meeting Minutes B. May 16, 2017 Closed Session Minutes  A. Disabled. American Veterans Chapter 61 Donation Request A. Stormwater Discharge Program Agreement B. Fifth Amendment to' Town of Sawmills Licensing Agreement  C. Alcohol Referendum A. Code Enforcement Monthly Report B. Council Comments 12. Closed Session: Personnel 13. Adjourn  11. Updates:    Page lof 8  TUESDAY, MAY 16, 2017  TOWN OF SAWMILLS REGULAR COUNCIL MEETING  6:00 PM  COUNCIL PRESENT Joe Wesson Gerelene Blevins Keith Warren Jeff Wilson Joe Norman Reed Lingerfelt  STAFF PRESENT Christopher Todd Terry Taylor Julie. A Good  CALL TO ORDER: Mayor Joe Wesson called the meeting to order. INVOCATION: Councilman Reed Lingerfelt gave the invocation.  PLEDGE OF ALLEGIANCE: Mayor Joe Wesson led the Pledge of Allegiance.  ADOPT AGENDA: Mayor Joe Wesson asked for a motion to adopt the May 16, 2017 Keith Warren made a motion, and Reed Lingerfelt seconded, to adopt the May 16, 2017  Agenda.  Agenda. All were in favor.  APPROVE APRIL 18, 2017 REGULAR MEETING MINUTES: Mayor Joe Wesson Joe Norman made a motion, and Gerelene Blevins seconded, to approve the April 18, 2017  asked for a motion to approve the April 18, 2017 regular meeting minutes.  regular meeting minutes. All were in favor.  APPROVE APRIL 18, 2017 CLOSED SESSION MEETING MINUTES: Mayor Joe Wesson asked for a motion to approve the April 18, 2017 closed session meeting minutes. Reed Lingerfelt made a motion, and Joe Norman seconded, to approve the April 18, 2017  closed session meeting minutes. All were in favor.  APPROVE MARCH 9, 2017 BUDGET MEETING MINUTES: Mayor Joe Wesson Gerelene Blevins made a motion, and Joe Norman seconded, to approve the March 9, 2017  asked for a motion to approve the March 9, 2017 budget meeting minutes.    May 2017 Page 20 of8  budget meeting minutes. All were in favor.  APPROVE APRIL 6, 2017 BUDGET MEETING MINUTES: Mayor Joe Wesson asked Joe Norman made a motion, and Reed Lingerfelt seconded, to approve the April 6, 2017  forai motion to approve the. April 6, 2017 budget meeting minutes.  budget meeting minutes. All were in favor.  APPROVE APRIL 20, 2017 BUDGET MEETING MINUTES: Mayor Joe Wesson Keith Warren made a motion, and Gerelene Blevins seconded, to approve the April 20, 2017  asked for a motion to approve the April 20, 2017 budget meeting minutes.  budget meeting minutes. All were in favor.  PUBLIC COMMENT: Mayor Joe Wesson asked if anyone had any questions or comments  at this time. No one wished to speak. RECOGNITIONS:  RECYCLE REWARDS WINNER: Mayor Joe Wesson announced Mrs. Mary Eller Helton as the May Recycle Rewards winner. A credit of twenty-eight dollars ($28.00) will  be added to her sanitation bill. No Council action was required. FINANCIAL MATTERS:  BAD DEBT WRITE-OFE: Town Administrator Christopher Todd stated that the Town had a list of 2013 accounts that have gone unpaid for Utility and Sanitation services. The Town does not expect to collect payment for these accounts and recommends that Council approve the write off of the accounts. The total amount of these accounts is six thousand four hundred sixty-seven dollars and twenty-one cents ($6,467.21). Town Administrator Christopher Todd also advised Council that included in the list are twenty-six (26) accounts the' Town has submitted to the NC Debt Setoff Program for Collection. Town Administrator Christopher Todd stated the Town had recovered five thousand four hundred seventy-four dollars ($5,474.00) from previous years). There are sufficient funds in the budget to cover Reed Lingerfelt made a motion, and Joe Norman seconded, to approve staff to write off the 2013 list of bad debts accounts in the amount of six thousand four hundred sixty-seven  this.  dollars and twenty-one cents ($6,467.21). All were in favor.    May 2017 Page 3 of8  PRESENTATION OF FY 2017-2018 BUDGET AND CALL FOR PUBLIC HEARING: Town Administrator Christopher Todd presented to Council a proposed budget for Fiscal Year 2017-2018. Town Administrator Christopher Todd stated that the budgeti is balanced as required by the NC Local Government Budget and Fiscal Control Act. The Town's overall budget for FY 2017-2018 totals three million five hundred sixty-two thousand two hundred nine dollars $3,562,209.00). A few highlights of the proposed budget include no property tax increase; twenty-five percent (25%) increase for the water and sewer rates; an appropriation of General Fund unrestricted reserves, in the amount of eighty-six thousand dollars ($86,000.00), will be transferred to the Utility Fund for Capital Improvement, an appropriation of Water and Sewer Fund reserves will be made this fiscal year; maintains current level of services; maintains current levels of benefits for employees. The Town will also maintain its current levels of service to the citizens. Council must hold Joe Norman made a motion, and Gerelene Blevins seconded, to hold a public hearing on  aj public hearing on June 20, 2017, to adopt the budget.  June 20, 2017, to adopt the budget for FY 2017-2018. All were in favor.  WPCOG PLANNER/CODE ENFORCEMENT OFFICER AGREEMENT: Mayor Joe Wesson stated that the current contract with the Western Piedmont Council of Governments (WPCOG) for planning services will expire on June 30, 2017 and will need to be renewed. The renewal of the services would be for twenty-two thousand two hundred fifly dollars Reed Lingerfelt made a motion, and Joe Norman seconded, to accept the contract with the WPCOG for a total of twenty-two thousand two hundred fifty dollars ($22,250.00). All  ($22,250.00).  were in favor.  DOT MOWING CONTRACT: Town Administrator Christopher Todd stated that the Town helps the Department of Transportation with mowing and clean-up of the right of ways of certain State maintained roads with reimbursement of up to three thousand three Joe Norman made a motion, and Gerelene Blevins seconded, to accept the contract with the  hundred fifty-eight dollars ($3,358.00) made quarterly to the Town.  Department of Transportation. All were in favor.  SALES TAX REINVESTMENT AGREEMENT: Town Administrator Christopher Todd stated that the current contract with Caldwell County for the Sales Tax Reinvestment program will expire on June 30, 2017 and will need to be renewed. Town Administrator Christopher Todd stated that the contract will not exceed one hundred ninety-four thousand dollars ($194,000.00) annually. The funds would be used by Caldwell County and the Caldwell County Economic Development Commission as incentive moneys for job growth Joe Norman made a motion, and Gerelene Blevins seconded, to accept the Sales Tax  and development.    May 2017 Page 4 of8  Reinvestment Contract. All were in favor.  DISCUSSION:  NEWI UTILITY APPLICATION POLICY: Town Administrator Christopher Todd stated that the current policy allows an account to be finaled five (5) days after disconnection due tor non-payment. Once this happens, a new application must be filled out, along with a new deposit, to reopen the account. Ift the current resident opens the account in the same name, the old balance and a new deposit must be paid before the account can be reopened. Town Administrator Christopher Todd stated that staffhas noticed an increase where the old occupant is still at the same location but a different occupant is opening the account. This leaves the old balance unpaid and non-collectable. Town Administrator Christopher Todd stated that since the Town does not: require proof ofownership or a rental agreement, the Town is losing monies owed for the old accounts. Town Administrator Christopher Todd  stated that staff proposes the following changes to the current policy:  New customers must show proof of ownership, lease agreement, or have a notarized All persons on the proof fofownership, lease agreement, or notarized letter, needs to All persons listed on the proofofownership, lease agreement, or notarized letter, Ifthe account is a final account due to non-payment, any person who is listed on the account, and wants services reconnected at that address, must start over with the application process, pay another deposit and pay any monies due.  letter from the owner, when opening an account;  be listed as responsible parties; must sign the application;  Keith Warren made a motion, and Reed Lingerfelt seconded, to adopt the new utility  application policy. All were in favor.  PARKS MASTER PLAN: Town Administrator Christopher Todd stated that Town Staff and the Western Piedmont Council of Governments has worked over the past eight (8) months to create an updated Parks Master Plan. The plan was created in conjunction with a Parks Master Plan Committee, public outreach, and staffrecommencation. Joe Norman made a motion, and Reed Lingerfelt seconded, to adopt the Parks Master Plan.  All were in favor.  NC STATEWIDE EMERGENCY MANAGEMENT MUTUAL AID AND ASSISTANCE AGREEMENT: Town Administrator Christopher Todd stated that the    May 2017 Page 5 of8  current agreement with the North Carolina Department of Public Safety for Mutual Aid and Assistance will expire in September and will need to be renewed. The Caldwell County Emergency Services division is working to collect all the local agreements and get them filed with the State. The previous agreement was adopted by the Town Council in 2009. Keith Warren made a motion, and Gerelene Blevins seconded, to renew the agreement with the North Carolina Department of Public Safety for Mutual Aid and Assistance. All were in  favor.  PLANNING MATTERS:  ANNUAL PLANNING BOARD REPORT: Town Planner Leslie M. Meadows stated that in the Planning Ordinance Section 151.06 it is stated that: An annual report shall be prepared and submitted to the Town Council by May of each year. The report shall include ac comprehensive and detailed review of the activities, problems and actions of the Planning Town Planner Leslie M. Meadows stated that the Planning Board has met one (1) time from April 2016 to April of this year. Town Planner Leslie M. Meadows also stated that the Town Planner Leslie M. Meadows stated that the Board of Adjustments met one (I) time from April 2016 to April of this year. Town Planner Leslie M. Meadows also stated that the Town Planner Leslie M. Meadows stated that she wrote thirty-nine (39) zoning permits, met about nine (9) subdivisions and provided zoning assistance to over eighty (80) customers, consisting of various prospective buyers, realtors, property owners, developers, and Town Planner Leslie M. Meadows stated that there were nineteen (19) Code Enforcement  Board as well as any budget requests and/or recommendations.  Planning Board met in July 2016.  Board of Adjustments met in September 2016.  concerned citizens since August 2016. cases that have been completed. No Council action was needed.  BOARD OF ADJUSTMENT REAPPOINIMENI: Town Administrator Christopher Todd stated that there are three (3) seat on the Board of Adjustment Committee that expire June of this year. Danny Hamby, a regular Board of Adjustment member, has agreed to serve another term and both alternates, Johnnie Greene (an in-town alternate) and Walter Moore (an ETJ alternate) have both agreed to serve another term as alternates. Keith Warren made a motion, and Reed Lingerfelt seconded, to reappoint Danny Hamby, Johnnie Greene and Walter Moore to the Board of Adjustment Committee. All were in  favor.    May 2017 Page 6of8  UPDATES:  MAY CODE ENFORCEMENT REPORT: Town Planner Leslie M. Meadows stated that  there are ten (10) code enforcement cases open:  Teresa Annas Compton is the owner of a dilapidated house located at 4476 Sawmills School Road. Town Planner Leslie M. Meadows checked with Caldwell County on April 11, 2017, who verified that owner had a 2011 building permit for remodel changed over into her name. Caldwell County stated they would honor the permit if WNC Properties, LLC owner of 4209 Creekview PI. Minimum housing complaint. Town Planner Leslie M. Meadows stated that she has contacted Caldwell County Building Inspectors about meeting to investigate and follow-up on minimum housing David Graham (Landlord) owner of 4176 US Highway 321A. Minimum housing complaint. Town Planner Leslie M. Meadows stated that she has contacted Caldwell County Building Inspectors about meeting to investigate and follow-up on minimum Casey Lynn Wallace, owner of 3950-1 Walters MHP Drive. Minimum housing complaint. Town Planner Leslie M. Meadows stated that she has contacted Caldwell County Building Inspectors about meeting to investigate and follow-up on minimum Dwayne and Bridget Mann, owner of 4353 Eli Lane/Fancy Place. Garbage, trash, refuse complaint. Town Planner Leslie M. Meadows stated that she verified the complaint on April 27, 2017 and mailed out a letter with a deadline ofMay 16, 2017. Carolyn Bray, owner of2570 Baker Cir. Abandoned mobile home. There has been Andrew Dehart, owner 4036 US Highway 321A. High grass and junked vehicles. High grass/weeds still need to be tended. Town Planner Leslie M. Meadows stated she had spoken with the local contact, Leslie Kenworthy, on May 16, 2017 and Ms. Kensworthy stated she had paid someone to finish the outside work on the property Cheney Carter, owner of 4361 Sawmills School Road. Abandoneddiapidatea home. Town Planner Leslie M. Meadows stated that there are no trespassing signs now in place, there was a new high grass/landscaping complaint received on May 9, 2017. Town Planner Leslie M. Meadows stated she spot checked the property on May 9, 2017 and will begin the procedure to get mowers to the property; Gena Edwards and Buster Price, owners of 4492 Mayfield Drive. Outdoor storage, junk vehicles and pool complaint. Town Planner Leslie M. Meadows stated that the complaint was verified on April 27, 2017 and a violation letter was mailed with a  ai new contractor takes over;  complaint;  housing complaint;  housing complaint;  As ofMay 9, 2017 there has been no response or change; no reply and no change in the status of this case;  and they had not completed that work yet;    May 2017 Page 7of8  deadline of May 16, 2017. Town Planner Leslie M. Meadows stated that she spoke with the homeowner on May 9, 2017 and homeowner has begun removing vehicles and trash. Town Planner Leslie M. Meadows also stated that homeowner agreed to cover the pool until officially treating it to open for use in June. Town Planner Arnold and/or Jeff Wilson, owners of 1769 Cajah Mountain Road. Outdoor storage and junk vehicles. Town Planner Leslie M. Meadows stated that the complaint was verified on April 27, 2017 and a violation letter was mailed with a deadline on May 16, 2017. Owner had called and agreed to speak with current tenants. Town Planner Leslie M. Meadows stated that there was little change as ofMay 9,2017.  Leslie M. Meadows will continue to spot check;  No Council action was required.  COUNCIL COMMENT: Mayor Joe Wesson asked if anyone on the Council had any Joe Norman thanked everyone for coming out and stated that the meeting had been Keith Warren stated that he appreciated everyone who came out to the meeting. Keith Gerelene Blevins thanked everyone for coming out and hoped no one was upset about the  questions or comments at this time.  interesting.  Warren stated he hoped everyone had a safe trip home.  meeting.  Jeff Wilson stated that he hoped everyone had a good evening. Reed Lingerfelt also stated that it had been an interesting meeting.  Reed Lingerfelt thanked everyone for coming out and hoped everyone had a safe trip home. Mayor Joe Wesson wanted to thank everyone for coming out. Mayor Joe Wesson stated that he thought the Town had a great budget and Council had worked hard to make sure Mayor Joe Wesson wanted to remind everyone of the Memorial Day celebration on May 29, 2017 at Veterans Park. Mayor Joe Wesson stated that the ceremony will begin at  there was no tax increase, which is always good.  approximately 7:30 p.m.  CLOSED SESSION: PERSONAL MATTERS: Mayor Joe Wesson asked for a motion to Reed Lingerfelt made a motion, and Joe Norman seconded, to go into Closed Session at Keith Warren made a motion, and Joe Norman seconded, to come out of Closed Session at  go into closed session. 6:59 pm. All were in favor. 7:23 pm. All were in favor.    May 2017 Page 8 of8  COUNCIL ADJOURN: MayorJoe Wesson asked for a motion to adjourn.  Jeff Wilson made a motion, and Reed Lingerfelt seconded, to adjourn the meeting. All were  in favor.  Joe Wesson, Mayor  Julie A. Good, Town Clerk    AGENDA ITEM7A  MEMO DATE: SUBJECT:  June 20, 2017 Recognition: Recycle Rewards Program  Discussion:  The Town of Sawmills would like to congratulate Kenneth Simmons on winning the Recycle Rewards Program for the month ofJune. Mayor Joe Wesson will present him with a Certificate ofAppreciation. A twenty-eight dollar ($28.00) credit will be added to the current sanitation  bill,  Recommendation: No Council action is required.    AGENDA ITEM 8A  MEMO DATE: SUBJECT:  June 20, 2017 Public Hearing: Adopt Proposed FY: 2017-2018 Budget  Discussion: and fee structure.  Council has received a copy oft the proposed FY 2017-2018 budget ordinance, budget message  Listed below are the salient points of the budget:  General Fund Expenditures: Governing Body Administration Finance Public Works Streets and Highways Sanitation Community Development Parks and Recreation Operating Transfers  $48,308.00 $489,400.00 $80,500.00 $424,120.00 $263,500.00 $566,650.00 $102,950.00 $247,100.00 $86,000.00 $194,000.00 $2,502,528.00 $86,000.00 $2,502,528.00 $1,059,681.00 $3,562,209.00 $3,562,209.00  Interlocal Transfer to Caldwell County  Total  Fund Balance Appropriated: Utility Fund Expenditures:  Water Sewer  Total  Total Budget  As required by State Law the budget is balanced.    The budget includes the current tax rate of$.20 (twenty cents) per $100.00 (one hundred A! proposed water rate of $20.60 (twenty dollars and sixty cents) minimum usage for 2,000 gallons, the rate of $6.25 (six dollars and twenty-five cents) for 2,000 gallons to 6,000 gallons, and the rate $7.50 (seven dollars and fifty cents) for 7,000 gallons and  dollars) valuation.  above.  Ap proposed sewer rate of $ 24.70 (twenty-four dollars and seventy cents) minimum usage for2 2,000 gallons and the rate per additional 1,000 gallons of usage of $ 6.90 (six dollars A! proposed sanitation rate of $8.00 (eight dollars) per month and $96.00 (ninety-six  and ninety cents). dollars) per year.  Included in this budget is merit raises for Town employees. See enclosed list of the proposed FY 2017-2018 fee structure.  Recommendation:  Staffre recommends that Council adopt the FY 2017-2018 budget as presented.    FY17-181 Budget Ordinance  BE: IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF SAWMILLS, NORTH  CAROLINA:  The following anticipated fund revenues, departmental expenditures, and interfund transfers are approved and appropriated for the Town of Sawmills' operations for the Fiscal Year  beginning July 1, 2017,and ending June 30, 2018.  SECTION1- General Fund  Revenues: Property Tax Local Sales Tax Powell Bill Allocation Solid Waste Fee State Shared (Utility/Franchise) Other Fund Balance Appropriated Capital Reserve - Refuse Truck Total Estimated General Fund Revenues  463,000 1,015,000 198,550 200,000 192,000 12,978 86,000 335,000 $2,502,528  Expenditures: Governing Body Administration Finance Public Works  48,308 489,400 80,500 424,120 263,500 566,650 102,950 247,100 194,000 86.000 $2,502,528  Streets and Highways (Powell Bill) Sanitation - Includes Refuse Truck Community Development Parks and Recreation  Interlocal Transfer to Caldwell County Operating Transfer to Utility Fund-CIP Total Estimated General Fund Expenditures  7    SECTION2-1 Utility Fund  Revenues: Water Sewer  804,231 255,450 $1,059,681  Total Estimated Utility Fund Revenues  Expenditures: Water Sewer  804,231 255,450 $1,059,681  Total Estimated Utility Fund Expenditures SECTION3-Ad Valorem Taxes  An Ad Valorem tax rate of $0.20 per one hundred dollars ($100) valuation oftaxable property, as listed for taxes as ofJanuary 1, 2017, is hereby levied and established as the official tax rate for the Town of Sawmills for Fiscal Year 2017-2018. The rate is based upon atotal projected valuation of $251,464,000 and an estimated collection rate of94%. The purpose ofthe ad valorem tax levy is to raise sufficient revenue to assist in financing  necessary municipal government operations in Sawmills.  SECTION 4-1 Documentation  Copies of this ordinance will be kept on file at Town Hall and shall be furnished to the Town Clerk and Finance Director to provide direction in the collection of revenues and  disbursement ofTown funds.  SECTIONS-Special Authorization, Budget Officer A. The Town Administrator shall serve as Budget Officer.  B. The Budget Officer shall be authorized to reallocate departmental appropriations among C. The Budget Officer is authorized to effect interdepartmental transfers of minor budget amendments not to exceed ten percent (10%) of the appropriated funds for the department's allocation which is being reduced. Notification of all such transfers or amendments shall be made to the Town Council at their next regular meeting of that  the various expenditures within each department.  body following the transfers.  8    SECTION6- Restrictions  A. Interfund transfers of moneys shall be accomplished only by authorization from the B. The utilization of any contingency appropriation, in any amount, shall be accomplished only by the authorization from the Town Council. Approval of a contingency appropriation shall be deemed a budget amendment, which transfers funds from the contingency appropriation to the appropriate object ofe expenditure.  Town Council.  SECTION7- Budget Amendments  The North Carolina Local Government Budget and Fiscal Control Act allow the Town Council to amend the budget ordinance any time during the fiscal year, SO long as it complies with the North Carolina General Statutes. The Town Council must approve all budget amendments, except where the Budget Officer is authorized to make limited transfers. Please review sections 5 and 6, which outline special authorizations and  restrictions related to budget amendments.  SECTION 18-1 Utilization of Budget and Budget Ordinance  This ordinance and the budget documents shall be the basis for the financial plan of the Town of Sawmills during the 2017-2018 Fiscal Year. The Budget Officer shall administer the budget. The accounting system shall establish records that are in consonance with this budget and this ordinance and the appropriate statutes ofthe State ofl North Carolina.  Adopted this the  day of  2017.  Mayor Joe Wesson  Christopher Todd, Town Administrator  ATTEST:  Clerk  9    Annual Budget for the 2017-2018 Fiscal Year  Honorable Mayor. Joe Wesson And Members of the Town Council:  Town Staffi is pleased to present the proposed budget for Fiscal Year 2017-2018, beginning July 1,2017 and ending June 30, 2018. The budget is balanced ini its entirety as required by the North The Town of Sawmills' overall budget for FY 2017-2018 totals $3,562,209 reflecting an overall  Carolina Local Government Budget and Fiscal Control Act. increase of $570,203, or 19.1% increase from FY2016-2017.  The proposed budget includes: no tax increases;  25% increase of the water and sewer rates; transferred to the Utility Fund for Capital Improvement maintains current levels of service; maintains current levels of benefits for employees Below is a briefbudgetary summary oft the various funds for the Town:  an appropriation ofGeneral Fund unrestricted reserves, ini the amount of $86,000, will be an appropriation of Water and Sewer Fund reserves will be made this fiscal year;  General Fund:  The proposed ad valorem tax rate for FY 2017-2018 is to remain at 20 cents per $100 valuation witha a collection rate of94%. Each penny ofthe Town's property tax rate generates  approximately $20,767.00.  The General Fund currently remains debt free. The Town of Sawmills attempts to pay for capital outlay items from actual revenue sources and/or reserves rather than issuing bonds or borrowing funds and paying interest on debt. As has been the case in the previous three budgets, the Town will not: need an appropriation of General Fund unrestricted reserves in order to balance the Anticipated State collected local revenues have been calculated utilizing data supplied by the North Carolina League ofMunicipalities and local economic data. The Town is anticipating extremely small increases ini most oft these revenue sources as a result of the slowly improving  budget.  local, state and national economy.  Some highlights in the General Fund Departmental budgets include: paving repairs on Withers Drive, Hunters Path and Oxford Drive  Server and computers for Administration paving at' Town Hall and Public Works garage; a1%-5%1 merit increase for employees roof expansion at Public Works garage replace/repair light poles at Baird Park  maintaining employee benefits at current levels which entail a 1.3% increase in health continued participation in the Caldwell County Sales Tax Reinvestment Program in the  insurance premiums; amount of$194,000    General fund revenues and expenditures are balanced at $2,502,528 This amount represents an increase of $624,953, or an increase of25% from the previous 2016-2017 Fiscal Year Budget.  Enterprise Fund:  Due to the increased cost ofs service and desire to expand and maintain our infrastructure, the Town Council and Staff recommended water and sewer rates increase for Fiscal Year 2017-2018 In light of the need to maintain Enterprise Fund reserves to address anticipated system improvements maintain solvency and meet unanticipated emergencies, both staff and the Town Council are urged to maintain adequate financial planning for the future. This may require The Water Department, reflects a $234,000 expense in Repair and Maintenance. This amount includes a replacement waterline on the Horseshoe Bend Road. There is also an amount of $123,000 for Capital Outlay for the expansion ofa waterline on the Horseshoe Bend Road for Revenues for the Enterprise Fund for FY 2017-2018 are approximately $1,059,681 reflecting a decrease of $54,750, or 5%, from the FY 2016-2017 budget. This includes the need for the appropriation of net assets in the amount of $63,981 to balance this year's water and sewer  by approximately 25%.  adjusting water and sewer rates in the 2018-2019 Fiscal Year's Budget.  newly annexed properties.  budget for one time capital expenses. Water Rates: Water Base Rate: $20.60 Sewer Rates: Sewer Base Rate: $24.70 Conclusion:  Water Volumetric Rate: $6.25 per 1,000 gallons < 6,000 gallons Water Volumetric Rate: $7.50 per 1,000 gallons > 6,000 gallons  Sewer Volumetric Rate: $6.90 per 1,000 gallons  Itis with great pride, and a lot ofhard work, that we present the proposed budget for FY2017- 2018. The total budget estimates for FY 2017-2018 (across all funds) totals $3,562,209 versus $2,992,006 for FY 4 2016-2017. Staff did a great job ini realizing the Town's monetary parameters and making adjustments accordingly. General Fund balance percentage is anticipated to improve Iwould like to thank the dedicated employees of the Town for their hard work and good stewardship ofthe Town's resources. These people work hard and take pride in carrying out their duties. Iwould like to thank the Mayor and Council for their dedication in carrying out their responsibilities in providing leadership and guidance ini these times ofbudgetary stress and  this year.  economic uncertainty. Respectfully, Town Administrator LE    Town of Sawmills Fee Structure FY2017-2018 7012017-6302018  Public Works:  Items not picked up - building materials, electronics and automobile parts. Small brush pick up fee: Large brush pick up fee: White goods pick up fee: Special (bulky item) pick up fee: Purchase of Speed Limit or other Traffic signs: Water/Sewer Department: Water Deposit Sewer Deposit WaterTap (3/4 inch tap) WaeTepG4imchup) Water Tap (2 inchy or greater) Water Tap (2inch or greater) Sewer Tap (4-6inch) Sewer Availability Fee Water Rates (Inside Town)  No charge (30 minutes or less) $75.00 No charge No charge $75.00 $100.00 $100.00 $750.00 $1,500.00 $750.00 plus 15% $1,500.00 plus 15% $1,000.00 $19.75 (current rate)  (per hour)- see policyfor guidelines  Ifss# provided $50.00 (a 50% discount) fss# provided $50.00 (a5096 discount)  Inside Town Outside Town Inside Town Outside Town Inside Town  ***NO OUTSIDE SEWER TAPS***  $20.60 min charge per month up to $6.25 per each additional 1,000gals up $7.50 per each additional 1,000gals after $41.20 min charge per month up to $12.50 per additional 1,000gals up to $15.00 per each additional 1,000gals $24.70 min charge per month up to $6.90 per additional 1,000gals  2,000gals to 6,000gals 6,000gals 2,000gals 6,000gals after 6,000gals  Water Rates (Outside Town)  Sewer Rates (Inside Town) ***NO OUTSIDE SEWER*** Meter Tampering Fee Sanitation Department: Sanitation Deposit Sanitation Fee  2,000gals $75.00 $150.00 $20.00 $8.00 per month $96.00 per year $70.00 (per can) $8.00 per month  Fire Hydrant Access Deposit (Contractors Only)  Extra Trash Can (rental fee) Sanitation Availability Fee    Planning: Zoning Permit: Zoning Permit - Accessory structures Rezoning Application: (Includes Public Notice advertising/certified letters) Special Use Permit: Family or Minor Subdivision Review: Major Subdivision Review: Copy of Subdivision Ordinance: Request for Variance: Encroachment Fee Parks and Recreation Baird Park - Baseball Fields  $25.00 $5.00 $200.00 $150.00 $25.00 $200.00 $10.00 (per copy) $200.00 $750.00  (plus $5.00 per lot after 25 lots)  $150.00 per field $250.00 both fields $300 multi day tournament $100.00 per field $175.00 both fields  Veterans Park - Baseball Fields  $225.00 multi day tournament  Soccer Field  $100.00 $150.00 .10 per page .20 per page $30.00 fee)  Farmers Market Field Miscellaneous Fees Black & white copies: Color copies:  Insufficient Funds (NSF Check Return)  ($25.00 bank fee + $5.00 processing  *New rates forfiscal year effective 7/01/2017    AGENDA ITEM 9A  MEMO DATE: SUBJECT:  June 20, 2017 Financial Matters: Request for Donation  Discussion:  The Town has received a request from the Disabled American Veterans Chapter 6 for a donation  ini the amount of fifty dollars ($50.00).  There are sufficient funds in the budget for this request.  Recommendation:  Staffrecommends Council discuss this matter and decide how they wish to proceed.    TOWN OF SAWMILLS 1M s 4  Christopher Joe Todd, Wesson, Town. Mayor Administrator  e a3 A0 whsgi Funding Request  Name of Organization: Disabled BReea VTaan Ch6 Permanent Address: 4113 Hefrn Not Kehe RA  *  : :: -2a  V  City/State/Zip: Contact(s):  Hudsn NC 2PE38 Steve Holsehm  Phone #: 396-4732 E9is Email" sdholselaw Phtmil on    -  : :  :. so  : : :48 7 .RXX 7Sw 5 : 1,4: haet  .  Amount Requested: #50  Date Funds Needed: 7-1-17 ME 7737  Describe the purpose of the project and how the funds will,be'used: Fenelralfer - GlTawmannt  36  1: '   Evads will be Used ta_helps vatevanswh  Ch Co Vet Servce oEpile  hapthgk  INe pranila Frce # TraRipor ttar VA haykkp chnicr foY Veterans wit avr Volater deers wo VAns.  that CK6 prpehasel How will this project benéfit the community?  hs3 135  S    Veferars wll Know that we Cai batelet un por  .3  411 : : : Md X  supprtk Heir tme of neecl  3.315. 3S X * : 9yin :  : 315 14517.15 N4  : 7 15. 5 344 : : :  1 33 9.XAE  315 :51 51 : :i: 24: 15  5X41 1 - M:. .7R  Official Town Use Only  Date application received: Date approved/denied:  GA27  Date presented to Town Council: cloly 17  Amount approved:  :..  Available balance in Governing Body donations expense account: 5100.00  Check #/date:  Amount:  pur cerTnisinstruiment has been preaudited in the manner required by thel Local Government Budget and Fiscal Control Act.    AGENDA ITEM 10A  MEMO DATE: SUBJECT:  June 20,2017 Discussion: Adopt Storm Water Discharge Program Agreement with City ofLenoir  Discussion:  The current agreement between the City ofLenoir and the Town of Sawmills expires on June 30, 2017. The enclosed Storm Water Discharge Agreement between the City ofLenoir and the Town of Sawmills will be effective July 1,2017 and expire June 30, 2018. The cost the Town will pay the City ofLenoir to continue responsibility of the plan is in the amount of $13,104.93 (thirteen thousand one hundred four dollars and ninety-three cent). The City of Lenoir will also  be entitled to receive all revenues from fines and penalties which accrue.  There are sufficient funds in the budget for this purpose.  Recommendation:  Staffrecommends Council to approve the Storm Water Discharge Program Agreement in the amount of $13,104.93 (thirteen thousand one hundred four dollars and ninety-three cent) and  covering the period of. July 1, 2017 to. June 30, 2018.    STATE OF NORTHCAROLINA CALDWELLCOUNTY  STORM WATER DISCHARGE PROGRAM AGREEMENT  This Agreement is entered into on this the  day of  2017,bya and  between the Town of Sawmills, North Carolina ("the Town") and the City ofLenoir, a N.C. municipal WHEREAS, on or about September 12, 2005, the Town and the City were granted Permit No. NCS000474 to Discharge Storm Water under the National Pollutant Discharge Elimination System ("NPDES") by the State ofNorth Carolina Department of Environment and Natural Resources Division of Water Quality (the "Permit"), incorporated herein by reference, in order to discharge storm water from their municipal separate storm sewer systems into the waters of the creeks and unnamed tributaries located within the Catawba River Basin which are named or described in the Permit; and, WHEREAS, Caldwell County developed and implemented a Storm Water Plan (the "Plan") referred to in PartIofthel Permit, and pursuant to a May 1, 2009, Storm Water Discharge Program Agreement, the County and the City agreed that the City assumed the implementation responsibilities for the Plan pursuant to the terms ofs said agreement, and pursuant to the terms of separate implementation  Corporation ("the City").  agreements between the Town and the City; and,  WHEREAS, under the terms ofs said agreements the City's obligations to assume and provide WHEREAS, the Town and the City desire and intend to extend such implementation of the Plan by the City for the Town for and including the period from July 1, 2017, through June 30, 2018 as  implementation oft the Plan shall cease effective June 30, 2017; and,  provided in this Agreement. described herein, do agree as follows:  THEREFORE, the County and the City, for and in consideration of the valuable considerations  1. EFFECTIVE DATES. Effective date upon and beginning July 1, 2017, and continuing through June 30, 2018, the City shall assume responsibility fori implementation ofthe Plan with respect to areas of the Town located within the municipal boundaries oft the Town, such responsibility shall include all 2. For such implementation responsibilities by the City for said period, the Town shall pay to the City Said amount has been calculated and agreed to between the Town and the City pursuant to and agreed-upon formula based upon the Town's current population and area relative to the proportionate populations and areas of other towns in Caldwell County which has entered into storm water plan implementation agreements with the City to determined proportionate shares oft the total projected costs for the City inj provided such implementation during the period oft this Agreement. 3. The City shall additionally be entitled to have and receive all revenues from fines and penalties which accrue or may be obtained received by the City in the course of such implementation during the effective  matters and files that are then currently pending.  the amount of$_13,104.93  on or before September 1  2017.  period of this Agreement.    4. This Agreement may be modified in writing by mutual agreement of the parties.  This Agreement is executed in duplicate originals, one ofwhich is to be retained by each of the  parties hereto.  TOWNOF SAWMILLS  By:  Town Manager  ATTEST:  Clerk to the Town Council (Town Seal)  CITY OF LENOIR  By:  City Manager  ATTEST:  Clerk to the City Council (City Seal)    AGENDA ITEM 10B  MEMO DATE: SUBJECT:  June 20, 2017 Discussion: Adopt Fifth Amendment To Town of Sawmills Licensing Agreement  Discussion:  The current agreement between the Town of Sawmills and the Sawmills Community Optimist Club, Inc., for the rights of the non-exclusive use ofthe baseball fields and concession stand at times and according to the schedule as mutually agreed upon by the Town of Sawmills and the Sawmills Community Optimist Club, Inc., was amended and continued until June 30, 2017. The Town of Sawmills and the Sawmills Community Optimist Club, Inc. wish to amend the current agreement to extend the agreement from July 1, 2017 through June 30, 2018.  Recommendation:  Staffrecommends Council discuss this matter and decide how they wish to proceed.    NORTH CAROLINA CALDWELL COUNTY  FIFTH AMENDMENT TO  TOWN OF SAWMILLS LICENSING AGREEMENT  THAT WHEREAS, the TOWN OF SAWMILLS, a municipal corporation ("Town") and SAWMILLS COMMUNITY OPTIMIST CLUB, INC., a North Carolina nonprofit corporation ("Licensee") did enter into a License Agreement ("License") according to that Park License Agreement originally dated April 4, 2011, amended on August 16, 2011, August, 2013, July,  2014,July, 2015 and July, 2016.  THAT WHEREAS, the License Agreement was to exist for a period of one (1) year. THAT WHEREAS, the License Agreement was amended and continued until the 30th THAT WHEREAS, the parties do desire now to enter into a written Amendment to NOW, THEREFORE, the parties do hereby agree to this Amendment to License  day ofJune, 2017.  extend from the 1*'ofJuly, 2017 until the 30th day of. June, 2018. Agreement under the terms and conditions as follows:  1. June, 2018. 2. advance written notice. 3. 4.  The term ofthis Agreement shall exist from the 1st ofJuly, 2017 until the 30th of Either party may terminate this Agreement at any time by thirty (30) days The grant of this License is exclusive to the Sawmills Community Optimist Club, This License continues to grant the Optimist Club the rights for a non-exclusive  Inc. and may not be assigned without the written consent of the Town ofSawmills.  use ofthel baseball fields and concession stand at times and according to the schedule as mutually agreed upon. The specific times of use, description of programs and then thereafter any scheduling changes of programs must be submitted by the Optimist Club to the Town  Administrator and approved prior to actual use.  5.  Concurrently with the granting of this License, the Licensee shall forward to the  Town Administrator a copy of the current Liability Insurance Policy providing coverage for personal injuries to each person and coverage for all personal injuries in each accident and coverage in such amounts as approved by the Town Administrator. Said Policy shall name the  Town, it's Council Members and its Employees as Additional Insureds.  All the remaining terms and conditions of the original Park License Agreement and  Amendment thereto are incorporated herein unless otherwise modified by these terms.  Fifth. Amendment to Town of Sawmills Licensing Agreement229103.1    This the  day of  2017.  SAWMILLS COMMUNITY OPTIMIST  CLUB, INC. By: Name: Title:  TOWN OF SAWMILLS  By:  Mayor  ATTEST:  Town Clerk  APPROVED ASTOFORM: Terry M. Taylor, Town Attorney  Fifth. Amendment to' Town of Sawmills Licensing Agreement.229103.    AGENDAITEMI0B  MEMO DATE: SUBJECT:  June 20, 2017 Discussion: Alcohol Referendum  Discussion:  The Town of Sawmills Town Council has been asked by the owners of Market Basket to consider voting to allow a referendum for the sale ofa alcohol in the Town of Sawmills. Currently there are no alcohol sales allowed within the Town of Sawmills. Alcohol Sales within Caldwell County are currently permitted in Granite. Falls, Hudson, Lenoir, Hickory, and Blowing Rock. The state of North Carolina defines five (5) different categories of sale for alcohol. These include malt liquor, unfortified wine, fortified wine, ABC Stores, and Mixed Beverages. The Town Council can choose to put one, multiple, or all of these items on the ballot. There are different sub categories that can be placed on some of these items as seen in S 18B-602. Form If a referendum were to pass it would mean additional revenue to the Town of Sawmills. Currently the Town of Sawmills could receive from $15,000-20,000 in additional revenue annually if the sales of malt liquor, fortified wine, and unfortified were permitted. The revenue from the sales tax connected to aforementioned categories are defined in S 105- 113.82. Distribution of part of beer and wine taxes (see attached), which designates this particular revenue source by population. This number is variable and based around total sales within the state, the population ofthe town, and the number of participating local governments in The Town Council would need to vote on this subject during the regularly scheduled June meeting in order for the referendum to occur during the November 2017 election time period.  ofballots (see attached).  the state.  Recommendation:  Staffrecommends Council discuss this matter and decide how they wish to proceed.    $18B-602. Form ofballots.  (a) Malt Beverage Elections. - Any one or more of the propositions listed below may be placed on the ballot for a malt beverage election. Each voter may vote on each proposition on the ballot. The propositions to be used shall be chosen by the governing body or petitioner  requesting the election. The propositions shall read as follows:  (1) To permit the "on-premises" and "off-premises" sale of malt beverages.  [FOR [AGAINST OFOR DAGAINST FOR [AGAINST OFOR JAGAINST  (2) To permit the "on-premises" sale only oft malt beverages. (3) Toj permit the "off-premises" sale only of malt beverages.  (4) To permit the "on-premises" sale of malt beverages by Class A hotels, motels, and restaurants only; and to permit off-premises" sales by other permittees. Determining Results of Malt Beverage Election. - The kind of malt beverage sales  (b)  described in each proposition that receives a majority of votes "FOR" shall be allowed. If propositions (2) and (4) are both on the ballot and (2) receives a majority of votes "FOR," then sales shall be permitted according to that proposition regardless of the vote on (4). If one of the propositions receiving a majority of votes "FOR" is proposition (1), then the kind of sales described in that proposition shall be allowed regardless of the vote on any other proposition at (c) Subsequent Malt Beverage Elections. - A subsequent election in which a majority votes "AGAINST" malt beverage proposition (1) shall not affect the legality of sales that have previously been approved under proposition (2), (3), or (4). A subsequent election in which a majority votes "AGAINST" malt beverage proposition (2) or (3) shall not affect the legality of (d) Unfortified Wine Elections. - Any one or more of the propositions listed below may be placed on the ballot for an unfortified wine election. Each voter may vote on each proposition on the ballot. The propositions to be used shall be chosen by the governing body or petitioner  that election.  sales that have previously been approved under proposition (4).  requesting the election. The propositions shall read as follows:  (1) To permit the "on-premises" and "off-premises" sale ofunfortified wine.  [FOR AGAINST [FOR [JAGAINST [FOR OJAGAINST  (2) To permit the on-premises" sale only yofunfortified wine. (3) Toj permit the "off-premises" sale only of unfortified wine.    (e) Determining Results of Unfortified Wine Election. - The kind of unfortified wine sales described in each proposition that receives a majority of votes "FOR" shall be allowed. If one ofthe propositions receiving a majority of votes "FOR" is proposition (1), then the kind of sales described in that proposition shall be allowed, regardless of the vote on any other votes "AGAINST" unfortified wine proposition (1) shall not affect the legality of sales  proposition at that election.  (f) (g) proposition as follows:  Subsequent Unfortified Wine Election. - A subsequent election in which a majority ABC Store Elections. - The ballot for an ABC store election shall state the  previously approved under proposition (2)or(3). Toj permit the operation of ABC stores.  [FOR [AGAINST  (h) Mixed Beverage Elections. - The ballot for a mixed beverage election shall state the To permit the sale of mixed beverages in hotels, restaurants, private clubs, community  proposition as follows: theatres, and convention centers.  [FOR DJAGAINST  (1947, C. 1084, SS. 1,2, 4; 1951, c. 999, SS. 1,2; 1957, C. 816; 1963, C. 265, SS. 1-3; 1965,c.5 506; 1969, C. 647, S. 1; 1971, C. 872, S. 1; 1973, C. 33; 1977, C. 149, S. 1; C. 182, S. 2; 1979, C. 140,s. 3;c. 683, S. 13; 1981, C. 412, S. 2; 1981 (Reg. Sess., 1982), C. 1262, S. 9; 1983, c.583,s.6.)  $105-113.82. Distribution of part of beer and wine taxes.  (a)  Amount. - The Secretary must distribute. annually a percentage of the net amount of  excise taxes collected on the sale of malt beverages and wine during the preceding 12-month period ending March 31 to the counties or cities in which the retail sale of these beverages is authorized in the entire county or city. The percentages to be distributed are as follows:  (1) Of the tax on malt beverages levied under G.S. 105-113.80(a), twenty and  forty-seven hundredths percent (20.47%). and forty-four hundredths percent (49.44%).  (2)  Of the tax on unfortified wine levied under G.S. 105-113.80(b), forty-nine (3) Oft the tax on fortified wine levied under G.S. 105-113.80(b), eighteen percent  (18%).  Recommendation:  Staff recommends Council discuss this matter and decide how they wish to proceed.    AGENDA ITEM11A  MEMO DATE: SUBJECT:  June 20,2017 Updates: Code Enforcement Monthly Report  Discussion:  The attached report shows the progress that Planner Leslie Meadows continues to make  throughout the town. Recommendation: No Council action required.