AGENDA Sawmills Town Hall Tuesday, November 21,2017  Regular Meeting of the Sawmills Town Council  6:00 pm  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: Voluntary Annexation A. Open Public Hearing B. Staff CommetsRecommenditions Public Comment D. Close Public Hearing E. Council Action 9. Financial Matters: A. Employee Longevity Pay B. Caldwell County Veterans Honor Guard Inc. C, Caldwell County Donation Request D. Approve. Auditors Contract for FY2017-2018 10. Discussion Matters: A. Sawmills Fire Department Water Bill B. Sawmills Water and Sewer Rate Structure 11, Planning Matters: A. Plaming Board Application B. Re-Appoint Planning Board Members 12. Updates: A. Code Enforcement Report B. Council Comment 13. Adjourn  Mayor Joe Wesson Associate Pastor Randy McCall 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 Mayor Joe Wesson  A. October 17, 2017 Regular Meeting Minutes    Page lof5  TUESDAY, OCTOBERI 17,2017  TOWN OF SAMMILISRECULAR COUNCIL MEETING  6:00 PM  COUNCIL PRESENT Mayor Joe Wesson Gerelene Blevins Keith Warren Jeff Wilson Reed Lingerfelt COUNCIL ABSENT Joe Norman  STAFF PRESENT Christopher Todd Terry Taylor Julie A Good  CALL TO ORDER: Mayor Joe Wesson called the meeting to order. INVOCATION: Pastor Mike Owens 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 October 17,2017 Keith Warren made a motion, and Gerelene Blevins seconded, to adopt the October 17,  Agenda.  2017 Agenda. All were in favor,  APPROVE SEPTEMBER 19, 2017 REGULAR MEETING MINUTES: Mayor Joe Wesson asked for a motion to approve the September 19, 2017: regular meeting minutes. Reed Lingerfelt made a motion, and Keith Warren seconded, to approve the September 19,  2017: regular meeting minutes. All were in favor.  PUBLIC COMMENT: Mayor Joe Wesson asked ifanyone had any questions or comments  at this time.  David Powell spoke about water rates.    October 2017 Page 2 of5  RECOGNITIONS:  RECYCLE REWARDS WINNER: Mayor Joe Wesson announced Mr. Darrell Chandler as the October Recycle Rewards winner. A credit of thirty-two dollars ($32.00) will be  added to his sanitation bill. No Council action was required.  DISCUSSION:  CALL FOR PUBLIC HEARING: ANNEXATION: Town Administrator Christopher Todd stated that the Town of Sawmills had received a petition for Voluntary Annexation from Benny and Jennifer Townsend for one (1) parcel (NCPIN-2755994368), Additionally, ap petition has been received for Alice and Paul Wright for one (1) parcel (NCPIN-  2755995990)  The Town must hold aj public hearing in order to annex the parcels. Staff proposes the public hearing to be set for the next regularly scheduled Town Council meeting on  November 21, 2017.  Keith Warren made a motion, and Gerelene Blevins seconded, to hold a public hearing for the Voluntary Annexation for parcels NCPIN-2755994368 and NCPIN-2755995990 during the next regularly scheduled Town Council meeting on November 21, 2017. All were in  favor.  UPDATES:  OCTOBER CODE ENFORCEMENT REPORT: Town Planner Leslie M. Meadows  stated that there are fifteen (15) code enforcement cases open:  Teresa Annas Compton is the owner ofa dilapidated house located at 4476 Sawmills School Road. A letter to initiate a hearing and possible demolition via nuisance code violation VS minimum housing Waiting for an updated building inspections report WNC Properties, LLC owner of 4209 Creekview PI. Minimum housing complaint. Town Planner Leslie M. Meadows stated that she needs to verify complaint before arranging site visit with Caldwell County Building Inspector Mark Annas and David Graham (Landlord) owner of 4176 US Highway 321A. Minimum housing complaint. Town Planner Leslie M. Meadows stated that she needs to verify  from Mark Annas;  current resident;    October 2017 Page 3 of5  complaint before arranging site visit with Caldwell County Building Inspector Mark Casey Lynn Wallace, owner of 3950-1 Walters MHP Drive. Minimum housing complaint. Town Planner Leslie M. Meadows stated that she spoke with Landlord on October 10, 2017. There seems to be a civil dispute with tenant over stolen goods and keeping three (3) inside dogs. Per Town Administrator Christopher Todd, mail Dwayne and Bridget Mann, owner of 4353 Eli Lane/Fancy Place. Garbage, trash, refuse complaint. Town Planner Leslie M. Meadows stated that she spoke with Mr. Mann on September 19, 2017 and Mr. Mann stated that the trailer had been dismantled except the frame. Town Planner Leslie M. Meadows stated she spot checked the property on October 10, 2017 and all items of concern were removed Carolyn Bray, owner of 2570 Baker Cir. Abandoned mobile home. Town Planner Leslie M. Meadows spoke with spoke with Robin Brittan (owner of mobile home) on October 3, 2017. Robin Brittan stated she was not physically or financially capable to demo and remove trailer, but she is fine with the Town proceeding to do sO, in form of a lien on the property. Sent general citation on October 10, 2017, to initiate demolition efforts. Deadline to respond if October 26, 2017; 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 spot checked the site on August 10, 2017, and all the trailers have been removed, but the saplings and vines are still there. Sending a NOV final notice with fines to begin John "Jody" McRary and neighbors, Jody Drive. Outdoor storage/junk vehicles in ROW/freight container. This is a non-contorming use, Impressive Auto, encroaching on neighborhood and blocking street for Fire & Rescue/Trash Pick-up. Need to remove/replace non-conforming storage container. Town Planner Leslie M. Meadows stated that she spot checked all of Jody Dr properties on October 10, 2017. The cul-de-sac is cleared. Impressive Auto site has received an extension for removal of freight container and continued clean-up thru November 9, 2017. Sending a NOV final notice with fines to begin November 9, 2017; Sasser Family, LLC, owner 2526 Meadows Park Lane. Minimum housing complaint. Town Planner Leslie M. Meadows stated that she needs to verify complaint before arranging site visit with Caldwell County Building Inspector Mark Jose Montes, owner 4321 Cherokee Court, High grass/junk vehicles. Town Planner Leslie M. Meadows stated that she spot checked property on October 10, 2017. The grass is maintained, junked vehicle in cul-de-sac has been removed, but still using the public row for parking personal vehicles. Sending final NOV letter for establishing a proper driveway by November 9, 2017. No Parking signs to be posted  Annas and current resident;  Legal Aid information only. Case closed;  from view of the cemetery. Case closed;  October 24, 2017;  Annas and current resident;  after November 9, 2017;    October 2017 Page 4 of5  Jesse Smith, owner of 4215 Trojan Ln. High grass. Town Planner Leslie M. Meadows stated that she spot checked the property on October 10, 2017. The Charlies Hagaman/Tim Hart, owners of 1940 Leah Dr #19. Minimum housing complaint. Town Planner Leslie M. Meadows stated that she has received no response from landlord and/or landowner concerning a need for a hearing/meeting. Spot checked on October 10, 2017, the tenants are gone and the mobile home is AAH Homes, LLC/Debbie Watson, owner of 4255 Benfield MHP #4. Minimum housing complaint. Town Planner Leslie M. Meadows stated that she received a minimum housing complaint on September 7, 2017 and spoke with the Landlord on September 21,2017, who stated that the tenants were responsible for the damage and refuse to pay rent or let anyone in the mobile home. Town Planner Leslie M. Meadows stated that she visited with the Landlord on October 5, 2017 and she reported that a civil court ruling sided with the Landlord, the tenants were mandated to pay all back rent and have since moved from the mobile home. Town Planner Leslie M. Meadows stated that she has made arrangements to visit the renovated mobile home before new tenants are allowed to move in. Case closed; Steve Killian, owner of4801 Helton Rd. Outdoor storage/trashjunk. Town Planner Leslie M. Meadows stated that she verified the complaint on September 28, 2017 and sent a NOV letter on October 3, 2017, with a deadline of October 19, 2017; Janice Griffin, Trustee of Iona Griffin, 2148 Oaktree Ln. Abandoned, partially burned apartment building. Town Planner Leslie M. Meadows stated that she verified and photo documented the complaint on October 10, 2017. Town Planner Leslie M. Meadows stated that she sent a general citation on October 10, 2017 to initiate demolition efforts, with a deadline to respond on October 26, 2017. Building inspections to be contacted for condemnation and securing of site as needed.  mowing has been completed. Case closed;  empty and in the process of repairs. Case closed;  No Council action was required.  COUNCIL COMMENT: Mayor Joe Wesson asked if anyone on the Council had any Keith Warren stated that he was glad everyone came out and hoped everyone had a safe trip Gerelene Blevins stated that she was glad everyone came out. Gerelene Blevins also stated that she was glad to see all the progress done with code enforcement and that the Council was not trying to make it hard on the citizens just trying to make the Town clean and safe for its residents. Gerelene Blevins stated she hoped everyone had a safe trip home. Jeff Wilson wanted to thank everyone for coming out and hoped everyone had a safe trip Reed Lingerfelt wanted to thank everyone for coming out and hoped everyone had a safe  questions or comments at this time.  home.  home.    October 2017 Page 5of5  trip home. Reed Lingerfelt also stated that he thought that Council had a very productive Mayor Joe Wesson wanted to thank everyone for coming out. Mayor Joe Wesson also stated that whether everyone agreed or disagreed that we still need to have good and  meeting.  productive meetings.  Mayor Joe Wesson made several announcements: meeting on October 26, 2017 in Taylorsville.  Mayor Joe Wesson and Town Administrator Christopher Todd will be going to Mayor Also, on October 26, 2017 there will be a Parks & Recreation Committee meeting on October 26, 2017 beginning at 4:00pm in Council Chambers to discuss upcoming events. Mayor Joe Wesson wanted to remind everyone to come out for our Veterans Ceremony on Mayor Joe Wesson wanted to remind everyone to come out to the Sawmills Farmers Market Tractor and Treat on Tuesday, October 31, 2017, beginning at 3:00pm in the Farmers Mayor Joe Wesson wanted to encourage everyone to vote on November 7, 2017. Mayor Joe Wesson wanted to let everyone know that early voting starts on October 19, 2017 and will be from 8:00am to 5:00pm Monday through Friday October 19, 2017 through October 27, 2017, with the only Saturday being October 28, 2017 from 8:00am to 12:00pm at the Caldwell County Board of Elections or the Granite Falls Recreation Center.  November 11,2017 at Veterans Park beginning at 10:30am.  Market Field.  COUNCIL ADJOURN: Mayor Joe Wesson asked for ai motion to adjourn.  Reed Lingerfelt made a motion, and Jeff Wilson seconded, to adjourn the meeting. All were  ini favor.  Joe Wesson, Mayor  Julie A. Good, Town Clerk    AGENDA ITEM' 7A  MEMO DATE: SUBJECT:  November 21,2017 Recognition: Recycle Rewards Program  Discussion:  The Town of Sawmills would like to congratulate Claudia Ward-Eller on winning the Recycle Rewards Program for the month ofNovember. Mayor Joe Wesson will present her with a Certificate of Appreciation. A thirty-two dollar ($32.00) credit will be added to the current  sanitation bill.  Recommendation: No Council action is required.    AGENDA ITEM 8A  MEMO DATE: SUBJECT:  November 21,2017 Public Hearing: Voluntary Annexation  Discussion:  The Sawmills has received aj petition for Voluntary Annexation from Benny and Jennifer for one parcel (NCPIN-275594368).Additionally, a petition has been received from Alice and Paul Wright for their property (NCPIN- 2755995990) tol be annexed. Attached to this memorandum are the signed petitions, a survey of the area to be annexed, deeds, and tax information. Town staff suggests for the annexation ofboth parcels to officially take place on November 28"h, 2017. This would allow property owners and stafft the appropriate time to set up and provide  services. Recommendation:  Staffrecommends Council discuss this matter and decide how they wish to proceed.    NORTH CAROLINA CALDWELL COUNTY  TOWN OF SAWMILLS CLERK'S CERTIFICATE FOR ANNEXATION BENNYI-TOWNSEND AND WIFE, ENNIFERJ-TOWASEND PROPERTY  TO THE HONORABLE MAYOR AND MEMBERS OF THE TOWN COUNCIL OF  THE TOWN OF SAWMILLS:  The Town Clerk has examined the annexation petition submitted by Benny J. Townsend and Jennifer J. Townsend, for property being briefly described as attached on Exhibit A, and has determined that the annexation petition meets the requirements set forth by N.C.G.S.  Section 160A-58.1.  This the 15 day of Alovember  2017.  OP A  SEAL JUEY1,1953 LL COT 'TEIE  pwde  SAWMILLS ANNEXATION DOCUMENTS- BENNYTOWNSEND:  232936_1    Prepared By Terry M. Taylor, Attorney at Law, 858 2mStreet NE, Hickory, NC: 28601  NORTH CAROLINA CALDWELL COUNTY  TOWN OF SAWMILLS ANNEXATION RESOLUTION  THAT WHEREAS, the Town Council of the Town of Sawmills did receive an Annexation Petition for Voluntary Annexation: from Benny. J. Townsend and Jennifer) J.  Townsend and that;  THAT WHEREAS, the' Town Clerk has certified that the Annexation Petition meets the  requirements set forth by North Carolina General Statute $160A-58.1;  THAT, WHEREAS, the Town Council ofthe Town of Sawmills has held a public hearing on the EI day of Naember, 2017, according to statutory procedures in regards to this  Voluntary Petition;  NOW THEREFORE, the Town Council ofthe Town ofSawmills does hereby adopt the  Annexation Ordinance attached hereto which is incorporated herein by reference.  This the  day of  20  TOWN OF SAWMILLS  BY:  Mayor  ATTEST: Town Clerk  SAWMILLS ANNEXATION DOCUMENTS- BENNY7 TOWNSEND;  232936_1    NORTH CAROLINA CALDWELL COUNTY  TOWN OF SAWMILLS ANNEXATION ORDINANCE  WHEREAS, the Town Council oft the Town of Sawmills has been petitioned under General Statues 160A-58.1, as amended, to annex the area herein described; and WHEREAS, the Town Council has by resolution directed the Town Clerk to  investigate the sufficiency of said petition; and  WHEREAS, the Clerk has certifiedt to the sufficiencyofsaid petition and a public hearing on the question of this annexation wasl held at the Town Hall at 6:00 o'clock P.M., on the  day of 2017; and  2017, after due notice by publication on  WHEREAS, the Town Council does hereby find as a fact that said petition meets the NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE Section 1. By virtue of the authority granted under General Statues 160A-58.1, as amended, the following-deseribed territory is hereby annexed and made a part of the Town of  requirements ofGeneral Statutes 160A-58.1 as amended; TOWN OF SAWMILLS, NORTH CAROLINA:  Sawmills from and after the  day of  2017:  See attached Exhibit "A" Section 2. Upon and after the  dayof  2017, the above-described  territory and its citizens and property shall be subject to all debts, laws, ordinances and regulations in force in the Town of Sawmills. Said territory shall be subject to municipal taxes  according to G. S. 160A-49(f), 160A-58.10, as amended.  Section 3, That the newly-annexed territory described hereinabove shall become a part Section 4. The Mayor of the Town of Sawmills shall cause to'be recorded in the office ofthe Register ofDeeds of Caldwell County, and int the officeofthes Secretaryo ofState at Raleigh, North Carolina, an accurate map oft the annexed territory, described in Section 1 hereof, together with a duly certified copy of this Ordinance. Such a map shall also be delivered to the County Section 5. Notice of adoption of the Ordinance shall be published once, following the effectivedate ofannexation, in a newspaper having a general circulation in the Towno ofSawmills. Section 6. This Ordinance shall be in full force and effect from and after the  of the Town ofSawmills.  Board of Elections, as required by G. S. 163-288.1.  day of  ,20  SAWMILLS, ANNEXATION DOCUMENTS-BENNYTOWNSEND2328861    ADOPTED THIS  DAYOF  ,20  TOWN OF SAWMILLS  BY:  Mayor  ATTEST: Town Clerk Approved as to Form: Town Attorney  SAWMILLS, ANNEXATION DOCUMENTS- BENNY TOWNSEND232936.1    NORTH CAROLINA CALDWELL COUNTY  TOWN OF SAWMILLS CLERK'S CERTIFICATE FOR ANNEXATION ALICE. M. TOWNSEND WRIGHT PROPERTY  TO THE HONORABLE MAYOR ANDMEMBERS OF THE TOWN COUNCIL OF  THE TOWN OF SAWMILLS:  The Town Clerk has examined the annexation petition submitted by Alice M. Townsend Wright, for property being briefly described as attached on Exhibit A, and has determined that the annexation petition meets the requirements set forth by N.C.G.S. Section 160A-58.1.  This the 15"yat, Albuemher  20/7.  AES SEAL WU.YT,1888 COUNS #an4  Gulagihd E  SAWMILLS ANNEXATION DOCUMENTS- ALICE TOWNSEND WRIGHT:232937.1    Prepared By Terry M. Taylor, Attorney at Law, 858 2mStreet NE, Hickory, NC 28601  NORTH CAROLINA CALDWELL COUNTY  TOWN OF SAWMILLS ANNEXATION RESOLUTION  THAT WHEREAS, the Town Council of the Town of Sawmills did receive an Annexation Petition for Voluntary Amnexation from Alice M. Townsend Wright and that; THAT WHEREAS, the' Town Clerk has certified that the. Annexation Petition: meets the  requirements set forth by North Carolina General Statute $160A-58.1;  THAT, WHEREAS, the Town Council oft the Town of Sawmills has held aj public hearing on the 21 day of Novembar, 2017, according to statutory procedures in regards to this  Voluntary Petition;  NOW THEREFORE, the Town Council ofthe Town ofSawmills does hereby adopt the  Annexation Ordinance attached hereto which is incorporated herein by reference.  This the  day of  20  TOWN OF SAWMILLS  BY:  Mayor  ATTEST: Town Clerk  SAWMILLS ANNEXATION DOCUMENTS- ALICE TOWNSEND WRIGHT:232937.1    NORTH CAROLINA CALDWELL COUNTY  TOWN OF SAWMILLS ANNEXATION ORDINANCE  WHEREAS, the Town Council oft the Town of Sawmills has been petitioned under General Statues 160A-58.1, as amended, to annex the area herein described; and WHEREAS, the Town Council has by resolution directed the Town Clerk to  investigate the sufficiency of said petition; and  WHEREAS, the Clerk has certifiedto the sifficiencyofsaid, petitiona anda a public hearing on the question oft this annexation was held at the Town Hall at 6:00 o'clock P.M., on the  day of 2017; and  2017, after due notice by publication on  WHEREAS, the Town Council does hereby find as a fact that said petition meets the NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE Section 1. By virtue of the authority granted under General Statues 160A-58.1, as amended, the following-described territory is hereby annexed and made a part of the Town of  requirements of General Statutes 160A-58.1 as amended; TOWN OF SAWMILLS, NORTH CAROLINA:  Sawmills from and after the  day of  2017:  See attached Exhibit "A" Section 2. Upon and after the  day of  ,2017, the above-described  territory and its citizens and property shall be subject to all debts, laws, ordinances and regulations in force in the Town of Sawmills. Said territory shall be subject to municipal taxes  according to G. S. 160A-49(f), 160A-58.10, as amended.  Section 3. That the newly-annexed territory described hereinabove shall become a part Section 4. The Mayor of the Town of Sawmills shall cause to be recorded in the office ofthe Register ofDeeds ofCaldwell County, and in the office of the Secretary of State at Raleigh, North Carolina, an accurate map ofthe annexed territory, described in Section 1 hereof, together with a duly certified copy oft this Ordinance, Such a: map shall also be delivered to the County Section 5, Notice of adoption of the Ordinance shall be published once, following the efiedlivedateofammeation, in a newspaper havingag general circulation ini the' TownofSawmils. Section 6. This Ordinance shall be in full force and effect from and after the  of the Town ofSawmills.  Board of Elections, as required by G.S. 163-288.1,  day of  20  SAWMILLS ANNEXATION DOCUMENTS- ALICE TOWNSEND WRIGHT:232937.1    ADOPTED THIS  DAYC OF  ,20_  TOWN OF SAWMILLS  BY:  Mayor  ATTEST: Town Clerk  Approved as to Form: Town Attorney  SAWMILLS ANNEXATION DOCUMENTS- ALICE TOWNSEND WRIGHT:232937.1        Doc ID: 006465800002 Tvpe: CAP Reoorded: 03/17/2006 at_02:30:26 PM Fee Amt: $17,00 Page 1of2 Excise Tax: $0.00 Workflow" 677563 Caldwell Çountv. NC WAVNE L RASH Reaister of Deeds 1587-1237-1238  NORTH CAROLINA GENERAL WARRANTY) DEED  Excise Tax: Parcei Ideptifier No. By: Mail/Box t-.  Verifiedi by. 7  County ont the dayof  Tnisi instrument was prepared! iby._Dewey L. Keller,P. 0. Box 2437, Lenoir, N.C. 28645  Brief escription for the Index:  THIS DEEDI madet this 20 day of_ January 2006, by andi between  GRANTOR  GRANTEE  Darrell C. Townsend, divorced and Alice M. Townsend, divorced  Benny J. Townsend and wife, Jenni.fer J. Townsend 4426 Horseshoe Bend Road Hudson, N.C. 28638  The designation Grantor and Grantec ast used! hereins shall includesaidparties; their heirs, successors, and assigns, and shalli include WITNESSETH, thatt the Grautor, foray valuable considerationg paidbyt the Grantce, fher receipto ofwhichi ishercbya acknowledged, has andt by these presents does grant;, bargain, sell and convey unto the Granteei inf fees simple, allt thatcertain lotorp parcel oflands situated Being the 4.039 açres as recorded in Plat Book 22, Page 1361 Caldwell County Registry. Draftsman did not abstract title or perform a closing on this property and makes no  singular, plural, masculine, femininc or neuter as required by çontext.  ini the City of  Hudson  Township,  Caldwell Couoty,Northo Carolina and  more particularly described: as follows: warranties as to title.  The property. hereinabove described was acquired by Grantor byi instrument recorded in) Book A1 map showing the above described property is recordedi in) Plat) Book_ NCI Bar Association. Form) No. L-301 1976, Revised e1 1977,2002  page.  page.  Printed by Agreement with the NCBar Association- 1981 SofPro Corporation, 3333 E. Six Forks Rd., Raleigh, NC27609  17908    1238  TOHAVEANDIDHOID thes aforesaidl loto orparcelo ofland: aud allprivileges and appurtenancest therctob belamgingtolieGrmite And the Grantor coyenants withit the Grantee, that Grantori is seizedu ofthej premises inf fee simple, hast thes righti to conyey the samei in fecs simple, thatt titlci isn markelable: and freea and clear ofallencumbraices, and lbato Grantor will warrant and defend let title against INY WITNESS WHERBOF, the Grantor las duly exccuted thei foregoing as of the day and year firstabove wrillen.  ini fec simple.  the lawfuic claims ofallp persous whonsocver, other (han thci following exceptions:  AalCa (SEAL) Darrell C. Townsend, divorced Celic 71. Oon (SBAL) Alica M. Townsend, divorced  (EntityName) By: Tille: By: Title:_ By: Tidle: divorced  (SEAL) (SEAL)  Stato of North Carolina County of_ Caldwell  Lthet undersiguedNotary! Publio oft liç Coty aud Slatc aforesail, certify that_ Darrell C Townsend. ackuowledged the duc execution ofthe furegoingi instrunent for thes purposes thercin expressed,. Witnoss my laud: aid Notarial  personally appeared beforc mc this day and  stamp. or seal this 3Mday of marppe DLBE My Commission Expitres: 4-1F-1010 NOTARY  S. Caldwell L North cey  doblb public  State ofNorhi Carolina- County of  Ithot mimigamdNoayhahiber: tlc Countya and Slata aforesaid, certifytbat personally camo bofore me this day and ackuowledged that hei ist the thatb by authorityulys givena and ast thes actofgach deed. Witness my hand and! Nolarial slamprs seay EGSIE yOMITH My Comnission) Expires: State ofNorth Carolios. County of Caldwell  a North Carolina or  pemiulimadialypsnlaatiet thei inapplicalble),and  gsingiagtumeiti iuitsn name oni itsb behalfasitsactand  - 20: :  NOTARY PUBLIC Caidwell County North Carolina Nhtary) Public  I,thor udersigned! Notary) Publico of the Countya and Statc aforesaid, certify (bat Alice M. lownsend, divorced personally appeared before me this day and acknowledged the due execution of the foregoing instrument for the purposes fherein expressed. Witness: mny hand aud Notarial slamp or seal, this_ 3rddayof_ Mak 20U6  My Corumission Expires: 4-1R-1010 The foregoing Certificate(s)of ont te fitst pagel hereof. By:  LhH Sols Notary Public  is/arec cerlifiedi tobecouect. Thisi iustruneut andt this certilicatce Ere dulyrogisterodatt ticd date andt time audi lin@eDokadPagasiow: Printed by. Agréement with (el NCI Bar. Association-- 1981 SofPro Corporation, 333 E.; Six) Forks) Rd., Raleigl, NC27609  Register of Dceds for  County  Deputy/Assistant- Register ofDceds  NC) Bar Association) Form) No. L301 1976, Rovised 01 1977, 2002    BOOX 1044P6E0159  STATE Or RealCilate ExciseTax, AUS-89! 14.00 PB.10516 A-  FILED LOIS GREENE RÉGISIER CALDWELL CU.N.C. AE Recard.ng Time. Book and Poge  Excise Tax  Tax Lot No. Veribed by by  Parcel Identifier No day of  County on the  .19  Mall after recording to Brlef description for the Index THIS DEED madet thia 11th dayof ALPRED A. TOWNSEND and wife, CLARISSA M. TOWMSEND of Caldwell County, Nocth Ceralina  This inetrument was prepared by T. MICHAEL LASSITER, ATTORNEY AT LAW  NORTH CAROLINA GENERAL WARRANTY DEED  June  .1991 .by and belween GRANTEE WB BENNY L. TOWNSEND and wife, JENNIFER J. TOWNSEND of Caldwell County, North Carolina Routo 2, Box 465-F Hudson, NC 28638  GRANTOR  Enter in approprisle Dloch for each parky: name, address, and. # appropriate, character of enthty, eq. corporaton or partaenhip. Tha deslgnation Grantor and Grantee as used herein shall include said parlles. their belra, successors, and assigns. and WITNESSETE, that the Grantor, for 4 valuoble consideration paid by the Grantee, the receipt of which is hereby acknowiedged, has and by these presenla does grant, bargain, sell and convey unto the Grantpe in fee simple, pll that BEGIGO et an iron pin, tho Northwost corner of Darroll C. Tousend (Dood Book 879, pago 709, Calcwoil Couaty Rogistry) thonce, a new line, South 20° 18 min. 21 sec. East 834.56 feot to en iron pin in the line of William R. Maxey; thenco South 530 05 min. 00 soC. Wost 70.44 foet to on oxisting iron pinj thance South 20 58 min. 22 sec. Host 29.91 foet to en iron pin, corner of Waltor Evansi thence North 870 03 nin. 05 sec. West 281.80 foet to the center of tho creak; thence with tho poandorings of the crock the folloving coursos and distoncea: North 20* 20 min. 80 soc. Wast 712.00 feot, Narth 33* 34 min. 00 S0G. Wost 174.00 foet, North 75* 06 min. 00 BaC. Host 94.00 foot, North 19° 50 min. 00 80c. Wost 244.00 foot, South 54 8o aln, co s0c. Wost 69.00 feot, North 340 0o ain. 00 sec. Kest 103.00 font, South 380 30 min. 00 s0c. West 51.00 feet, North 62° 18 min. 00 sec. Vest 30.00 foot, Narth 20 17 mia. 00 sec. East 64.00 feot, North 160 12 min. 8 sec. East 136.00 foet, North 29* 43 min. 8 sec. East 103.00 foot, North 230 59 min. 00 BOC. East 75.00 feot, and Horth 35* 12 ain. CO s80. Esst 75.00 foet to en iron pin; thance North 29° 51 ain. 30 s0C. Vast 42.88 foet to tho cantor lino of Horseshoo Band Road (S.R. 1127); thenco with the coatar line of Horseshos Bond Road, North 47* 34 ain. Co soc. East 200.00 feot end North 43* 33 ain. 30 SAC. Bast 65.42 feat to a new coror in tho conter line of the said road; thence South 28- 26 Rin. 34 s00. Eest 297.08 fest to the polat aod plece of BBGIHIN3, ooatriniing 10.00 pCuea, all eccording to that certain plit of survay by Ghildras & Associates Surveying Co. dated Febrsry, 1991. For dood roferanco, se0 Doed Book 768 pago 928, Caldxell County  sball inciodo singular, plural, masculine, feminine or neuter DR required by context.  certain lot or parcel of land situated in tbe City of  Hudson  Township,  Caldwell  County, North Carolino and more particularly described as follows:  Raglatry.  1    i'ii  BOXK 1044PA8E0160  The property hereinabove described was Bcquired by Grantor by inatrument recorded In A map showing the above deacribed property is recorded in Plat Book  Deed Book 768, page 928  page  TO HAVE AND TO HOLD the aforesaid lot or parcel of land and all privileges and appurtenances thereto belonging to And the Grantor covenante with the Grantee, that Grantor Is seized of the premises in fee simple, has the right to convey the Bame In fee simple, that title is marketable and free and clear of all encumbrances, and that Grantor will warrant and defend the title agsinst the lawful claime of all persons whorsoever except for the exceptiona hereinafter stated. Title to the property berelnabove described 18 Bubject to the foilowing exceptions Subject to grantees' prorata share of the 1991 ad valorem taxes.  the Grantee in fee aimple.  corporate w WITNBSS nApe by WHEREOR, Ms doly Aubbarbed whe Graotas otticers has and berennto 1s neas i be Mis MereaDio hand and afiixed seal, 1 sorperate. ot bas  Bpard saused ot thls insirument the to day bo  above wertten Dy: APIRBTI  a  y9 year  (BEAL) (SEAL) (SBAL) (SRAL) Orapter. 1.9.1.. Rotury Paslle Sreretary w Becretuy. 13., Helry PAAL  (Corporalo Nume)  Alfred A. Townsend Mlaam Clarissa M. Townsend CEanta..h. Josna.  Becrotary (Corporste Beal) NORTI CABOLINA, Caldwell.. 1,Notry Poblle ot ths Cooniy and State afaresald, eeruly that Alfred.A... Townsend. Am.MiB.clariaa.h. Tounapad. partonally RPpaed Detore me this GAy and eikpowledged the hana and oftjelal stamp a seal, Ibi. .3. dagar. ...July.. My eommiasips eapires: August. 3. 1992. Aoii dConpastw). ka Netarg zablie a tbe Cornty sat State ateressis, eeruty that peroaaiy esms Mefere ma thia 6x ane erkpewledsed that. boi sivaa sns as 6 aci ef 1ae cerpanstisn, tho forezelag tnstramra es *gne to 1ta pama ay tts Prrsirst, sesiet wi I eerparat sez! 136 ellesteA N Witana Ey RaxS aas aiflet stAm, e SAJ, nab.  Coonty.  of tbo toregotng instrameat. Witness ray  - - -Ceanty.  NoRFs CASOLINA.  BEALSYANT  Nerta Csrellna carporatlan, ant Gst ar apthority ay  a3 Is  A7  axptres:.  Mal tasegelkg Certicauog N gtleL.CAFPeNTET.  MgMalsAr.4la gauaty..NOrsh.CArphina.  KS eret MerH. ) errt rae stRmeRt ant ese esitnests an sds rglsteres a1 Dr dan 1as gise IDA ia d Sseh AB4 PAg SAS en ee  Lofs Greene 3y  XXGIETTE oP DREDS roR.. .ChSDMRLL  couy  Ae.a.  0 TPn.mmenms. ef Drts   31m    Morkflow No. 676868  Doc Recorded: IDI. 03/0B/2006 008460700003. at Tvpe: 04:17:62 CRP PM Fee Amt! $20.00 Page 1of Exoiss. Tax: 80,00 Caldvell Workflow" Countv. 676888 NÇ. WAYNE LRASH Register of Deeds -1586-959-961  NORTH CAROLINA GENERAL WARRANTYDEED  Excise' Tax: Parcell Identifier No. By: MaiVBox to: 3, Brief description for thel Index:_  Verifiedby.  Çounty on the dayof  20_  4  Thisi instrument was prepared by: Dewey L. Keller, P. 0.Box 2437, Lenoir, N.C. 28645  THIS DEEDD made this 20 dayof_ January 2006, byend between  GRANTOR  GRANTEE  Darrell C. Townsend, divorced and Alice M. Townsend, divorced  Alice M. Townsend, divorced 4737 Hickory Nut Ridge Road Granite Falls, N.C. 28630  Thec designation Grantor and Grantecast usedi herein shall includes saidp parties, their heirs, successors, anda assigns, ands shalli include WITNESSETH, thatt the Grantor, foravaluable coasiderationpaidbyt theGrantee, bereciptofwlichish harelyachnowledge, has andbythese! presents does grant;, bargain, sclla ando convey: unto the Grantcei inf fees simple, allt thato certainl lotorparclofhmdsinuatd  singular, plural, masculine, feminine or neuter as required by context.  int the Cityof_ more particularly described ast follows:  Hudson Township, Caldwell Couaty,NorCarolim: and  See attached Schedule A.  The property hereinabove described was acquired by Grantor by instrument recordedi inl Book. A map showingt the above described property is recordedi inF Plat Book NCI Bar Association) Form) No. L-30 1976, Revised @ 1977,2002  page.  page.  Printedb by Agreement" with thel NCI Bar Association- 1981 SofiPro Corporation, 333B. Six) Forks Rd, Raleigh, NC27609  20.00-3    960  TOHAVEANDTOHOLD: thea boraiiktapmalafimiud. allprivileges and appurtenancest theretob belongingtotbe Grantee Andt the Grantoro covenants witht the Grantee, that Grantor is seizedofthep premisesi int fee simple, hast ther righttoc conyeyt thes samei in fces simpie, thatt titlei is marketable: and free: ando clear ofalleacumbrances, and thatGrantor will warrant and defend thet title: against INY WITNESS WHEREOF, the Grantor has duly oxecuted thef foregoing as ofthe day andy year first abovgy written.  in foes simple.  the! lawfil claims ofa all persons whomsoever, other than thef following exceptions:  Aole OhMMeNSAD Darrell C. Townsend, divorged Qlc 7LJou (SEAL) Alice M. Townsend  (Entityl Name) By: Title: By: Title:_ By: Title: divorced  (SEAL) (SEAL)  DEEBIE S. EMITH NOTARY PUELIC Caldwe!l County North Caroiina  State ofNorth Carolina. County of_ Caldwell stamp or seal this 3ndayof mart My Commission Expires:_ 4-18-2010 State ofNodh Carolina- County of  Lthe undersignedNotary. Public oft the County and Stale aforesaid, certify that. Darrell C. Townsend, acknowledged the duc execution ofthe foregoingi instrument for the purposcs therein expressed.. Witness my hand and! Notarial  personally appeared boforc me this day and Lthlhatb Notary Public  2006  Itheu undersignedNotary! Pablico oftho County and State aforesaid, certifyt that porsonally camo before met this day: and: acknowledged that hei is the thatbya authority dulys givens aud: ast the actermgh deed. Witness my hand and] Notarial stap orse ME S.WTH My Commission, Expires: State ofNorhCarolmna- Countyo of_ Caldwell instrument. for. the purposes therein expressed.  a North Carolina or  corporation/imited) allyepv-apenyisApatNPLae throught thei inapplicable), and  hesignedc eforegping instrument initsn name oni itsb behalfasits actand  20_  NOTARY PUBLIC Caldwell County North Carolina  Notary Public  I,thet undersigned! NotaryPublic ofthe County and States aforesaid, certify that Alica M. Townsend personally appeared before me this day and acknowleiged the due execution of the foregoing Wituessmyk hand and Notarial stamp or seal, this 3adayof_ muyl 2006  Commission, My Thef forgalngCetfigad)or. ont the first page hereof. By:  & hnues  Expires: 4-18010  LiMh Notary Public  Warcertifidiobeomet Thisi instrument andt this certificate are dulyr registeredatthe date andt timez mdat-Bxkmdnpiiomn Printed by Agreement with the) NC1 Bar Association- 1981 SoftPro Corporation, 3331 E. Six Forks) Rd., Ralcigh, NÇ27609  Register of Deeds for  County  Deputy/Assistant- Register ofI Deeds  NCI Bar Association Form No. L-3 01 1976, Revised e 1977,2002    ToAlicelownsend.des  qul  SCHEDULEA  Beginning on a pointi int the centerline of State) Road 1127 the Horseshoel Bend] Road, a comer with thel BennyJ.Townsend: and wife, Jennifer' Townsend property asr recordedi in) Deed) Book 1044 Page 159 oft the Caldwell County Registry; thence with the centerline of State Road 11271 North 43033' 30" East 34.58 feet to aj point in the centerline of Statel Road 1127; thence North 36° 59 00" East 93,02 feet to aj point in the centerline of State Road 1127; thence leaving State Road 1127 thence South 43°37 55"1 East passing through: a Y" iron pipe set at 31.01 feet and continuing thes same call South 43° 37 55" East for a total distance of 272.33: feet to a %" iron pipe set; thence South 46°2 22' 09" West 249.98 feett toa" existingi iron pipe a control corner; thencel North 28° 16'35" West and traveling through an existing iron pipe at 266.13. feet for a total distance of297.08 feet to the beginning point in the centerline of Statel Road 1127 the Horseshoe Bend Road, Containing 1.110 acres or 48,337 square feet and being a portion of Deed Book 1102 Page 1210  havinga a Tax I.D. No. of03-81-1-59.  DRAFTSMAN DID NOT ABSTRACT TITLE OR PERFORM A CLOSING ON THIS PROPERTY AND MAKES NO WARRANTIES AS TO TITLE.    TAXI NOTICE PLEASE SEND PAYMENT' TO: CALDWELL COUNTY TAX COLLECTOR POI BOX 2200 LENOIR, NC: 28645 ACCOUNT NUMBER 4701  DETACH AND RETAIN THIS PORTION FOR YOURF RECORDS YEAR 2017 MAP NUMBER 0381172 DESCRIPTION 1587/237YR2006 LOCATION 4426 HORSESHOE! BENDF RD  Bill Date 6/28/2017 RATE 0.6300 22.7500 0.0950 0.0085 TOTAL TAX INTEREST OTHER CREDITS TOTAL DUE  BILLI NUMBER 50031  TAXI DISTRICT COUNTY SOLID WASTE SAWMILLS RURAL RESCUE SAWMILLS RURAL NET TAXABLE VALUE 129,200  PROPERTYTAX  $813.96 $22.75 $122.74 $10.98 $970.43 $0.00 $0.00 $970.43 $0.00  REAL VALUE 182,500  PER PROP. VALUE 0  EXCLUSION 0  Ifyour bill is delinquent, please check the Overview & Pay screen for CHARGES correct amount including interest. If we receive your payment for the incorrect amount, you may have a balance due. Please contact our office for more information. ADDRESS SERVICE REQUESTED TOWNSEND BENNYL TOWNSEND JENNIFERJ 4426 HORSESHOE BENDI RD HUDSON, NC 28638  PLEASE DETACH ANDI RETURN THIS PORTION WRITE BILLI NUMBER ON CHECK ORN MONEY ORDER BILL NUMBER ACCOUNT! NUMBER  WITH PAYMENT YEAR 2017 AMOUNT DUE IF PAID IN JULY AMOUNT DUE IF PAID IN AUGUST TOTAL TAX DUE SEPT.1- JAN. 5 TOTAL AMOUNT ENCLOSED  50031  4701  $970.43    TAX NOTICE PLEASE SEND PAYMENT' TO: CALDWELL COUNTY1 TAX COLLECTOR PO BOX 2200 LENOIR, NC: 28645 ACCOUNTI NUMBER 118702  DETACHAND RETAINT THIS PORTIONFOR YOURI RECORDS YEAR 2017 MAP NUMBER 0381 162A DESCRIPTION EK1586PG959YRO6 STO.00 LOCATION REALI VALUE 8,900  Bill Date 6/28/2017 RATE 0.0950 0.6300 0.0085 TOTAL TAX INTEREST OTHER CREDITS TOTAL DUE  BILL NUMBER 50027  TAXI DISTRICT SAWMILLS RURAL COUNTY RESCUE SAWMILLS RURAL NET TAXABLE VALUE 8,900  PROPERTYTAX  $8.46 $56.07 $0.76 $65.29 $0.00 $0.00 $65.29 $0.00  PER PROP. VALUE 0  EXCLUSION 0  Ify your bill is delinquent, please check the Overview & Pay screen for CHARGES correct amount including interest. If we receive your payment for the incorrect amount, your may have a balance due. Please contact our office information. for more ADDRESS SERVICE REQUESTED TOWNSEND, ALICEM 3983 AUSTINE RD HUDSON, NC 28638  PLEASE DETACH AND RETURN THIS PORTION WRITE BILL NUMBER ON CHECK ORI MONEY ORDER BILL NUMBER ACCOUNT NUMBER  WITHF PAYMENT YEAR 2017 AMOUNT DUE IF PAID INJULY AMOUNT DUE IF PAID IN AUGUST TOTAL TAX DUE SEPT.1 -JAN. 5 TOTAL AMOUNT ENCLOSED  50027  118702  $65.29    AGENDA ITEM 9A  MEMO DATE: SUBJECT:  November 21,2017 Financial Matters: Employee Longevity Pay  Discussion:  The Town of Sawmills has an employee longevity pay plan that has been historically paid out  during the first pay period in December. The pay schedule is as follows: 26 years and up 21-25 years 16-20 years 10-15 years 6-9 years 2-5 years 7months-1 year Omonths-6 months  $900.00 $750.00 $600.00 $450.00 $300,00 $150.00 $50.00 $0.00  There are sufficient funds in the budget to cover this expenditure.  Recommendation:  Staff recommends Council approve the issuance of longevity paychecks to Town employees paid  out the first pay period in December.    AGENDA ITEM 9B  MEMO DATE: SUBJECT:  November 21,2017 Financial Matters: Request for Donation  Discussion:  The Town has received a request from the Caldwell County Veterans Honor Guard Inc. fora  donation in the amount of $100.00 (one hundred dollars). There are sufficient funds in the budget for this request.  Recommendation:  Staff recommends Council discuss this matter and decide how they wish to proceed.    Joe Wesson, Mayor  TOWN OF, SAWMILLS L - 3 : 1 : .  aagt wi IsEu Christopher Todd, Town Administrator  N : :5  : PGiuAS As 731,T1 AolssAp  Funding Request  Name of Organization: Permanent Address: City/State/Zip: Contact(s):  Koroz Giaba  CALeILA-TIk  35  RBZZ Kudsor NC TaayBadee  4  28638  -Ig 5 1A Hevasye :   Phone #: 828-3243023  maJIPA2IMSerec LEZAPLOEN  4 5 i. 1 : WRE : 55 - 1.2 Date Funds Needed:   AY  a B :M : E  : : -4. : 3S uhh: 75 1 a  SAS: :  s  *   Cok  Amount Requested: $I00r0  12 re :  Describe the purpose ofti the project and how't the funds will be used: 4 4 Animo gor tuoroflent Bye Gutna 34 - :   a I  pyg ersw R : : 4 n  15  :  - 33  6: a M.  * n.  's si 308 *  (5 pe.  MUbst   - a9 1 2 4:9.4, 43 834 Ae d 539  Mk.  7  How will this project benefit the community? 15 rss,  - 313 a 4-wPSL S* AA3 - X. * 5441R9XX54 *. 55,3 AMaSSS S .128 090: i MAAPR aF 9.514 XAAIXX.dwA 5874 S4 *3 *R.AS wS B 82407.4 5" -3444. ' 3 1.195.: ent ec: :1 14,2 42 d  Date application recelved: BPst : n: 3 Date approved/denied:   A XX.  AM-MFwYM X 02 53. *  MT 453 33 sia e, 5 443171 3h4 e 4 K SATIXXA 9149 SNDSR, 4: oe 73.83 : * 174 . 1  * 4734 A274: 9527 S- 1A Mp : 3i32n483 94  4  :5A S: ASRNE Es  MFW79 :S  PAIMA  Official Town Use Only"   5 K 9.  : ss.s  16/2317. : 13  Date presented to Town Council: 47h2  : 44- Mk :i *4 ' :. n  Amount approved:  Available balance in Governing Body donations expense account:  1300.00  Check #/date:  Amount:  Thisinstrument has been preaudited int ther manner required by the Local Government Budget and Fiscal Control Act.    AGENDA ITEM 9C  MEMO DATE: SUBJECT:  November 21,2017 Financial Matters: Request for Donation  Discussion:  The Town has received a request from the Caldwell County Schools for a donation in the  amount of $14,000.00 (fourteen thousand dollars). 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 : *.4  : : Christopher Joe Todd, Wesson, Town Maypr Administrator 9 ixs . :3  Funding Réquest  Name of Organization: Caldwell Couny Schoals Permanent Address: 914Hickocy Bivds  City/State/Zip:. Contact/s):  Lennir NC 086045  Divid-Sohpson Phone #828)728-94074 ext140150  :    a    Amount Requested:  Date Funds Needed: 7-200 Mpur enad -   s4p A  Hsa  Describe the purpose of the project and how the fundswill pe used: FAhicmoto Flenenltang D  a 6,  4 To3  Howwillt this project benefit the community?  Provide Fncrensedserariy oF SHudors  5 :  and Nro CoMmuny   v 3  3  Official Town Use Only:  Datieappliatonrereled: 11037 Date approved/denled: Check #/date:  Date prèsénted to Town Counci!: idaihy Amount approved: H,000.00  Available balance in Governing Body donations expense account:  15, 300.00.  Amount:  Kaxen Thisinstrument has been preaudited im the manner required byt the Local Government Budget and Fiscal Control Act.    AGENDA ITEM 9D  MEMO DATE: SUBJECT:  November 21,2017 Financial Matters: Approve Auditors Contract for FY2017-2018  Discussion:  Enclosed with this memo is a contract from our current auditing firm Lowdermilk, Church & Co., L.L.P. The contract, in the amount of$11,100.00 (eleven thousand one. hundred dollars), This amount of$11,100.00 (eleven thousand one hundred dollars) includes the following:  will cover the period of July 1, 2017 to. June 30, 2018.  Audit:  $7,215.00 $3,885.00  Preparation of annual financial statements:  This amount includes continual guidance, advice and directives throughout the year from the  auditors concerning any issues that may arise throughout the fiscal year.  Recommendation:  Staff recommends Council approve a contract with Lowdermilk, Church & Co., L.L.P. in the amount of$11,100.00 (eleven thousand one hundred dollars) and covering the period ofJuly 1,  2017 to June 30, 2018.    LGC-205 (Rev, 2018) Of  CONTRACITOAUDITI ACCOUNTS Town of Sawmills Primary Government Unit  N/A  Discretely Presented Component Unit (DPCU)ifapplicable  On this  9th  day of  November  2017  Auditor:  Lowdermilk Church & Co., LLP Auditor Mailing Address: 121 North Sterling Street,  Morganton, NC 28655  Hereinafter referred to as The Auditor Town of Sawmills (Primary Government)  and Town Council and  (Governing Board(s)) of  N/A  hereinafter referred to as the Governmental Unit(s), agree as follows:  (Discretely Presented Component Unit)  1. The Auditor shall audit all statements and disclosures required by accounting principles generally accepted in the United States of America (GAAP) and additional required legal statements and disclosures of all funds and/or statements and schedules shall be subjected to the auditing procedures applied in the audit of the. basic financial statements and an opinion shall be rendered in relation to (as applicable) the governmental activities, the business- type activities, the aggregate DPCUS, each mmajor governmental and enterprise fund, and the aggregate remaining fund information (non-major government and enterprise funds, the internal service fund type, and the fiduciary 2, Ata minimum, the Auditor shall conduct his/her audit and render his/her report in accordance with auditing standards generally accepted in the United States of America. The. Auditor shall perform the audit in accordance with Government Auditing Standards if required by the State Single Audit Implementation Act, as codified in G.S. 159-34. If required by OMB Uniform Administration Requiremenis, Cost Principles, and Audit Reguirements for Federal Awards, (Uniform Guidance) and the State Single Audit Implementation Act, the Auditor shall perform a Single Audit. This audit and all associated audit doçumentation may be. subject to review by Federal and State agencies in accordance with Federal and State laws, including the staffs of the' Office of State Auditor (OSA) and the Local Government Commission (LGC). Ifthe audit and. Auditor communication are found in this review to be substandard, the results of the review may be forwarded to the North Carolina State Board ofCPAJ Examiners (NC State Board). County and Multi-County Health Departments: The Office of State. Auditor (OSA) will require Auditors of these Governmental Units to perform agreed upon procedures (AUPs) on eligibility determination on certain programs, Both Auditor and Governmental Unit agree that Auditor shall complete and report on these AUPS on Eligibility Determination as required by OSA and in accordance with the instructions and 3. Ifan entity is determined to be a component of another government as defined by the group audit standards, the entity's Auditor shall make a good faith effort to comply in a timely manner with the requests oft the group auditor in 4, This contract contemplates an unqualified opinion being rendered, If during the process of conducting the audit the. Auditor determines that it will not be possible to render an unqualified opinion on the financial statements oft the unit, the Auditor shall contact the SLGFD staff to discuss the circumstances leading to that conclusion as soon as is practical and before the final report is issued. The audit shall include such tests of the acçounting records and such other auditing procedures as are considered by the Auditor to be necessary in the circumstances. Any limitations orrestrictions ins scope which would lead toa qualification: should be fullyexplained inz ans attachment  divisions of the Governmental Unit (s) for the period beginning  July1, 2017 and  ending  June 30 2018 The non-major combining, and individual fund  fund types).  timeline provided by OSA.  accordance with. AU-6 $600.41 - $600.42,  tot this contract,    Contract to. Audit Accounts (cont.). Town of Sawmills  Primary Government Unit  N/A  Discretely Presented Component Unit (DPCU) )ifapplicable  5. If this audit engagement is subject to the standards for audit as defined in Government Auditing Standards, 2011 revisions, issued by the Comptroller General of the United States, then by accepting this engagement, the Auditor warrants that he has met the requirements for aj peer review and continuing education as specified in Government Auditing Standards, The. Auditor agrees to provide ac copy of their most recent peer review report regardless of the date of the prior peer review report.to the Governmental Unit and the Secretary of the LGC prior to the exécution of the audit contract. If the audit firm received a peer review rating other than pass, the Auditor shall not contract with the Governmental Unit without first contacting the Secretary of the LGC for a peer review ànalysis If the audit engagement is not subject to Government Accounting Standards or if financial statements are not prepared in accordance with GAAP and fail to include all disclosures required by GAAP, the. Auditor shall provide 6. Itis agreed that time is of the essence in this contract. All audits are to be performed and the report of audit audit fee, an amended contract along with a written explanation of the delay shall be submitted to the Secretary 7. It is agreed that generally accepted auditing standards include a review of the Governmental Unit's systems of internal control and accounting as same. relate to accountability of funds and adherence to budget and law requirements applicable thereto; that the Auditor shall make a written report, which may or may not be aj part of the written report of audit, to the Governing Board setting forth his findings, together with his recommendations for improvement. That written report shall include all matters defined as "significant deficiencies and material weaknesses" in AU-C 265 of the. AICPA Professional Standards (Clarified). The Auditor shall file a copy of that report with the Secretary 8, All local government and public authority contracts for audit or audit-related work require the approval of the Secretary of the LGC. This includes annual or special audits, agreed upon procedures related to internal controls, bookkeeping or other assistance necessary to prepare the Governmental Unit's records for audit,: financial statemment preparation, any finance-related investigations, or any ofher audit-related work in the State of North Carolina. Invoices for services rendered under these contracts shall not be paid by the Governmental Unit until the invoice has béen approved by the Secretary of the) LGC (This also includes any progress billings.) [G.S. 159-34 and 115C-447] All invoices for Audit work shall be submitted in' PDF format to the Secretary of the LGC for htip/nctreasurersigtd.lempfle.net. _Subject line should read "Invoice - EUnit Name]. The PDF invoice marked 'approved" with approval date shall be returned by email to the Auditor to present to the Governmental Unit for payment. Approval is not required on contracts and invoices for system improvements and similar services ofa 9. In consideration of the satisfactory performance of the provisions of this contract, the Primary Government shall pay to the Auditor, upon approval by the Secretary of the LGC, the fee, which includes any cost the Auditor may incur: from work paper or peer reviews or any other quality assurance program required by third parties (Federal and State grantor and oversight agencies or other organizations) as required under the Federal and State Single Audit Acts. (Note: Fees listed on) Feespage.). This does not include fees for any Pre-Issuance reviews that may be: required by the NC. Association ofCPAs (NCACPA) Peer Review Committee or NC State Board ofCPA Examiners (see Item #12). 10. Ifthe Governmental Unit has outstanding revenue bonds, the. Auditor shall submit to the SLGFD either in the notes to the audited financial statements or as a separate report, a calculation demonstrating compliance with the revenue  that may result in additional contractual requirements. an explanation as to why in an attachment.  submitted to the SLGFD within four months of fisçal year end,  Audit report is due on_ of the. LGC for approval.  October31,2018  Ifit becomes necessary to amend this due date or the  ofthe LGC.  approval.  The invoices shall be sent via upload through the current portal address:  non-auditing nature.  Page 2of9    Contract to Audit Accounts (cont.). Town of Sawmills  Primary Government Unit  N/A  Discretely. Presented Component Unit (DPCU)ifapplieable  bond rate covenant, Additionally, the Auditor shall submit to the SLGFD simultaneously with the Governmental Unit's audited financial statements any ofher bond compliance statements or additional reports required by the authorizing bond documents, unless otherwise specified: in the bond doçuments, 11. After completing the audit, the Auditor shall submit to the Governing Board a written report of audit. This report shall include, but not be limited to, the following information: (a) Management's Discussion and Analysis, (b) the financial statements and notes of the Governmental Unit and all of its component units prepared. in accordance with GAAP, (c) supplementary information requested by the Governmental Unit or required for full disclosure under the law, and (d) the Auditor's opinion on the material presented. The Auditor shall furnish the required number of copies of the report ofa audit to the Governing Board as soon as practical after the close oft the fiscal year end. 12. If the audit firm is required by the NC State Board, the NCACPA Peer Review Committee, or the Secretary of the LGC to have a pre-issuance review ofi its audit work, there shall be a statement in the engagement letter indicating the pre-issuance review requirement. There also shall be a statement that the Governmental Unit shall not be billed for the) pre-issuance review. The pre-issuance review shall be performed prior to the completed audit being submitted to the SLGFD, The pre-issuance review report shall accompany the audit report upon submission to the 13. The Auditor shall electronically submit the report of audit to the SLGFD, as a text-based PDF file when (or prior to) submitting the invoice for services rendered. The report of audit, as filed with the Secretary of the LGC, becomes a matter of public record for inspection, review and copy in the offices of the SLGFD by any interested parties. Any subsequent revisions to these reports shall be sent to the Secretary. of the LGC along with an Andit report Reissuance form, These audited financial statements, excluding the Auditors' opinion, may be used in the preparation of official statements for debt offerings, by municipal bond rating services to fulfill secondary market disclosure requirements of the Securities and Exchange Commission and for other lawful purposes of the Governmental Unit without subsequent consent of the Auditor. If the SLGFD determines that corrections need to be made to the Governmental Unit's financial statements, those corrections shall be provided within three If the OSA designates certain programs to be audited as major programs, as disçussed in item #2, a turnaround The SLGFD's process for submitting contracts, audit reports and invoices is subject to change. Auditors shall use the submission process in effect at the time of submission, The most current instructions will be found on our website: 14. Should circumstances disclosed by the audit call for a more detailed investigation by the Anditor than necessary under ordinary circumstances, the Auditor shall inform the Governing Board in writing of the need for such additional investigation and the additional compensation required therefore. Upon approval by the Secretary of the LGC, this contract may be varied or changed to include the increased time, compensation, or both as may be agreed 15. If an approved contract noeds to be amended for any reason, the change shall be made in writing, on the Amended LGC-205 contract form and pre-audited if the change includes a change in audit fee. This amended contract shall be completed in full, including a written explanation of the change, signed and dated by all original parties to the contract. It shall then be submitted through the audit contract portal to the Secretary of the LGC for approval. The portal address to upload the amended contract is htp:/nctreasurerslgfi.leapile.net No change to theaudit contract shall be effective unless approved by the Secretary of the LGC, the Governing Board. and the  SLGFD,  days of notification unless another deadline is agreed to by the SLGFD.  document and a representation letter addressed to the OSA: shall be submitted to the SLGFD.  Atps/www.nctreasureasurer.comgrages/Audieommsancd-KesoureesASDA  upon by the Governing Board and the. Auditor.  Auditor.  Page 3 of9    Contract to Audit. Accounts (cont.) Town of Sawmills  Primary Government Unit  N/A  Discretely. Presented Component Unit DPCUifapphicable  16. A copy oft the engagement letter, issued by the Auditor and signed by both the Auditor and the Governmental Unit shall be attached to the contract, and by reference here becomes part of the contract, In case ofo conflict between the terms of the engagement letter and the terms ofthis contract, the terms oft this contract shall take precedence. Engagement letter terms that conflict with the contract are deemed to be void unless the conflicting terms of this contract are specifically deleted in Item #23 ofthis contract. Engagement letters containing indemnification clauses shall not be accepted by the 17. Special provisions should be limited. Please list any special provisions in an attachment. See attached 18, A separate contract should not be made for each division to be audited or report to be submitted. If a DPCU is subject to the audit requirements detailed in the Local Government Budget and Fiscal Control Act and a separate audit report is issued, a separate audit contract is: required. Ifa separate report is not to be issued and the DPCUi is included in the primary government audit, the DPCU shall be named along with the parent government on this audit contract, DPCU Board approval date, signatures from the DPCU Board chairman and finance officer also shall be 19. The contract shall be executed, pre-audited, physically signed by all parties including Governmental Unit and the Auditor and then submitted in PDF format to the Secretary of the, LGC. The current portal address to upload the contractual documents is ti:/nctreasurersigrd.eapile.net. Electronic signatures are not accepted at this time, Included with this contract are instructions to submit contracts and invoices for approval as of November 2017. These instructions are subject to change. Please check the NC Treasurer's web site at itps/www.nctreasurercom/g/Pages/Audit-'ommsand-Resouroes.ASPX for the most: recent instructions, 20. The contract is not valid until it is approved by the Secretary of thel LGC. The staff of the LGC shall notify the Governmental Unit and Auditor of contract approval by email. The audit should not be started before 21. There are no other agreements between the parties hereto and no other agreements relative hereto that shall be enforceable unless entered into in accordance with the procedure set out herein and approved by the Secretary of the 22. E-Verify. Auditor shall comply with the requirements of NCGS Chapter 64 Article 2. Further, if Auditor utilizes any subcontractor(s), Auditor shall require such subcontractor(s) to comply with the requirements ofNCGS Chapter 23, All of the above paragraphs are understood and shall apply to this contract, except the following numbered  SLGFD.  engagement letter.  included on this contract.  thecontracti isapproved.  LGC.  64, Article2.  paragraphs shall be deleted: (See Item #161 for clarification).  SIGNATURE. PAGES FOLLOW. FEES PAGE  Page 4 of9    Contract to. Audit. Accounts (cont.) Town of Sawmills  Primary Government Unit  N/A  Discretely Presented Component Unit (DPCU)ifapplicable  FEES-1 PRIMARY GOVERNMENT  AUDIT: $ 7,215  WRITING FINANCIAL STATEMENTS:3.885 ALL OTHER NON-ATTEST SBRVICES: $  For all non-attest services the Auditor shall adhere to the independence rules oft the. AICPA Professional Code of Conduct and Governmental. Auditing Standards (as applicable). Bookleeping and other non-attest serviçes necessary to perform the audit shall be included under this contract. However, bookkeeping assistance shall bel limited to the extent that the Auditor ist not auditing his or her oWn work or making management decisions, The Governmental Unit shall designate an individual with the suitable skills, knowledge, and/or experience necessary to oversee the services and accept responsibility for the results of the services. Financial statement preparation assistançe shall be deemed a "significant threat" requiring the Auditor to apply safeguards sufficient to reduce the threat to an acceptable level. The Auditor shall maintain written Prior to submission of the completed audited financial report, applicable compliance reports and amended contract (if required) the. Auditor may submit invoices for approval for services rendered, not to exceed 75% of the total of the stated fees above, Ifthe curent contracted fee is not fixed in total, invoices for services: rendered may be approved for up to 75%  documentation of his or her compliance with these standards in the audit work papers.  of the prior year audit fee,  The' 75% cap for interim invoice approval for this audit contract is $ 8,325  ** NA if there is fo be no interim billing  FEES-] DPCUC (IF APPLICABLE)  AUDIT: $  WRITING. FINANCIAL STATEMENTS:S ALL OTHER NON-ATTEST SERVICES: $  For all: non-attest services the, Auditor shall adhere to the independence rules of the AICPA Professional Code of Conduct and Govermmental. Auditing Standards (as applicable), Bookkeeping and other non-attest services necessary toj perform the audit shall be included under this contract. However, bookkeeping assistance shall be limited to the extent that the Auditor isi not auditing his or her own work or making management decisions. The GovemmentlUnitshal designate an individual with the suitable skills, knowledge, and/or experience necessary to oversee the services and accept responsibility for the results of the services, Financial statement preparation assistance shall be deemed a "significant threat" requiring the Auditor to apply safeguards sufficient to reduce the threat to an acceptable level, The Auditor shall maintain written Prior to submission of the completed audited finançial report, applicable compliance reports and amended contraçt (if required) the Auditor may submit invoices for approval for services rendered, not to exceed 75% of the total of the stated fees above. Ifthe current contracted fee is not fixed in total, invoices for services rendered may be approved for up to 75%  documentation ofhis or her compliance with these standards in the audit work papers.  of the prior year audit fee.  The 75% cap for interim invoice approval for this audit contract is $  **) NA if there is to be no interim billing  Page 5of9    Contract to. Audit Accounts (cont.) Town of Sawmills  Primary Government Unit  N/A  Discretely Presented Component UniDPCUifappliable  Communication regarding audit contract. requests for modification or official approvals will be sent to the email addresses provided in the spaces below, Audit Firm Signature: Lowdermilk Church & CO.,LLP-A :3 Name of Audit Firm By James, ELowdermilk AMfhorized Audit firm representativename? Typeg pZ27 Biénature ofauthorized: Date:  PRE-AUDIT CERTIFICATE: Required by G.S. 159-28 This instrument has been pre-audited in thei manner required by Thel Local Government. Budget and] Fiscal Control. Actor by the School Budget and) Fiscal Control Primary Government Unit Finance Officer:  (a)  Act. By Karen: Clontz Type or print name  audictirm 470-17 5  representative  mirpa@belsoutn.net Email Address of Audit Firm  Primary Government Finance Officer Signature (Pre-audit Certificate mus! be dated.) kclontz@townofsawmills.com Email Address of Finance Officer  Date  :  .  Goyernmental Unit Signatures: Town of Sawmills Name ofPrimary- Goyernment ByJoe Wesson, Mayot Mayer/Chaimerson: Type or print name and title Signature of Mayor/Chairperson of governingl board Chair of Audit Committce- Typo or print name Signature of Audit Committec Chairperson  Date ByN/A:  Date Primary Government Governing Body Approved. Audit Contract- G.S. 159-34(a) Mar/a07  Date  : :  ** Govermental Unit has no audit committee, mark  this. section "N/A"  ***Please provide us the most current email addresses available as we use this information  to update our contact database***  Page 6of9    Lowdermilk Church & Co., L.L.P. Certified. Public Accountants  121N. Sterling Street Morganton, North Carolina 28655 Phone: (828)433-1226 Fax: (828)433-1230 November 9,2017  To the Honorable Mayor and Members oft the' Town Council  ofthe Town of Sawmills Sawmills, North Carolina  We are pleased to confirm our understanding of the services we are to provide the Town of Sawmills for the year ended June 30, 2018. We will audit the financial statements oft the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information, including thei related notes to the financial statements, which collectively comprise the basic financial statements of the Town of Sawmills as of and for the year ended June 30, 2018. Accounting standards generally accepted in the United States of America provide for certain required supplementary information (RSI), such as Management's Discussion and Analysis (MD&A), to supplement the' Town of Sawmills' basic financial statements. Such information, although not a part ofthe basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of finançial reporting: for placing the basic financial statements in an appropriate operational, economic, or historical context, As part of our engagement, we will apply certain limited procedures to the Town of Sawmills' RSI in accordance with auditing standards generally accepted in the United States of America. These limited procedures will consist ofi inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We will not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. The following RSI is required by U.S. generally accepted accounting principles and will be subjected  toc certain limited procedures, but will not be audited: 1) Management's Discussion and Analysis. Budgetary Comparison Information Liability (Asset) and Schedule ofContributions  2)  3) Local Government. Employees' Retirement System Schedule of the Proportionate Share of Net Pension  Wel have also been engaged to report on supplementary information other than RSI that accompanies the Town of Sawmills' financial statements. We will subject the following supplementary information to the auditing procedures applied in our audit oft the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements, or to the: financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted int the United States of America, and we will provide an opinion on it in relation to the financial statements as a whole, in a report combined with our auditor'sr report on  the financial statements:  1) Combining and Individual Fund Financial Statements  2) 3)  Budgetary Schedules Other Schedules    Audit Objectiyes  The objective of our audit is the expression of opinions as to whether your financial statements are fairly presented, in all material respects, in conformity with U.S. generally accepted accounting principles and to report on the fairness oft the supplementary information referred to in the second paragraph when considered in relation to the financial statements as a whole, Our audit will be conducted in accordance with auditing standards generally accepted in the United States of America and the standards for financial audits contained in Government. Auditing Standards, issued by the Comptroller General oft the United States, and will include tests of the acçounting records of' Town of Sawmills and other procedures we consider necessary to enable us to express such opinions. We will issue a written report upon completion of our audit ofTown of Sawmills' financial statements. Our report will be addressed to the Town Council ofthe Town of Sawmills. We cannot provide assurance that unmodified opinions will be expressed. Circumstances may arise in which it is necessary for us to modify our opinions or add emphasis-of-mater or other-matter paragraphs. If our opinions are other than unmodified, we will discuss the reasons with you in advance. If, for any reason, we are unable to complete the audit or are unable to form or have not formed opinions, we may decline to express opinions or issue reports, or We will also provide a report (that does not include an opinion) on internal control related to the financial statements and compliance with the provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a material effect on the financial statements as required by Government Auditing Standards. The report on internal control and on compliance and other matters will include a paragraph that states (1) that the purpose of the report is solely to describe the scope oftesting ofinternal control and compliance, and the results of that testing, and not to provide an opinion on the effectiveness ofthe entity's internal control on compliance, and (2) that the report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity's. internal control and compliance. The paragraph will also state that the report is not suitable for any other purpose. Ifduring our audit we become aware that the' Town of Sawmills is subject to an audit requirement that is not encompassed in the terms of this engagement, we will communicate to management and those charged with governance that an audit in accordance with U.S. generally accepted auditing standards and the standards for: financial audits contained in Government Auditing Standards  may withdraw from this engagement.  may not satisfy the relevant legal, regulatory, or contractual requirements.  Audit Procedures--General  An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the: financial statements; therefore, our audit will involve judgment about the number oft transactions to be examined and the areas to be tested. An audit also includes evaluating the appropriateness ofa accounting policies used and the reasonableness ofs significant accounting estimates made by management, as well as evaluating the overall presentation of the: financial statements. We will plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether from (1) errors, (2) fraudulent financial reporting, (3) misappropriation of assets, or (4).violations of laws or governmental. regulations that are attributable to the government or to acts by management or employees acting on behalf of the government. Because the determination ofs abuse is subjective, Government Auditing Standards does not expect auditors to Because oft thei inherent limitations of an audit, combined with the inherent limitations of internal control, and because we will not perform a detailed examination of all transactions, there is a risk that material misstatements may exist and not be detected by us, even: though the audit is properly planned and performed in accordance with U.S. generally accepted auditing standards and! Government Auditing Standards. In addition, an audit is not designed to detect immaterial misstatements or violations of laws or governmental: regulations that do notl have a direct and material effect on1 the financial statements. However, we will inform the appropriate level of management of any material errors, fraudulent financial reporting, ot misappropriation of assets that come to our attention. We will also inform the appropriate level ofmanagement of any violations oflaws or governmental regulations that come to our attention, unless clearly inconsequential, and of any material abuse that comes to our attention, Our responsibility as auditors is limited toi the period covered by our audit and does not extend to later  provide reasonable assurance of detecting abuse.  periods for which we are not engaged as auditors.    Our procedures will include tests of documentary evidence supporting the transactions recorded in the accounts, and may include tests ofthe physical existence ofi inventories, and direct confirmation ofreceivables and certain other assets and liabilities by correspondence with selected individuals, funding sources, creditors, and financial institutions. We will request written representations from your attorneys as part oft the engagement, and they may bill you: for responding to this inquiry, At the conclusion of our audit, we will require certain written representations from you about your responsibilities for the financial statements; compliance with laws, regulations, contracts, and grant agreements; and other responsibilities required by generally accepted auditing  standards.  Audit Procedures- Internal Control  Our audit will include obtaining an understanding of the government and its environment, including internal control, sufficient to assess the risks ofmaterial misstatement of the financial statements and to design the nature, timing, and extent of further audit procedures. Tests of controls may be performed to test the effectiveness of certain controls that we consider relevant to preventing and detecting errors and fraud that are material tot the financial statements and to preventing and detecting misstatements resulting from illegal aots and other noncompliance matters that have a direct and material effect on the finançial statements. Our tests, ifperformed, will be less ins scope than would bei necessary to render an opinion on internal control and, accordingly, no opinion willl be expressed in our report on internal control issued pursuant to Government Auditing Standards. An audit is not designed to provide assurance on internal control or to identify significant deficiencies or material weaknesses. However, during the audit, we will communicate to management and those charged with governance internal control related matters that are required to be communicated under AICPA professional  standards and Government Auditing Standards. Audit Procedures- Compliance  As part of obtaining reasonable assurance about whether the financial statements are free of material misstatement, we will perform tests of the Town of Sawmills' compliance with the provisions of applicable laws, regulations, contracts, agreements, and grants. However, the objective of our audit will not be to provide an opinion on overall compliance, and we will not express such an opinion in our report on compliance issued  pursuant to Government Auditing Standards.  Other Services  We will also assist in preparing the financial statements and related notes of the Town of Sawmills in conformity with U.S, generally accepted accounting principles based on information provided by; you, We will also prepare the following based on information provided by you: AFIR, and Unit Data Input Worksheet. These nonaudit services do: not constitute an audit under Government Auditing Standards and such services will not be conducted ina accordance with Government Auditing Standards. We will perform the services in accordance with applicable professional standards. The other services are. limited to the: financial statement services previously defined. We, in our sole professional, judgement, reserve the right to refuse to perform any procedures or take any action that  could be construed as assuming management responsibilities.  Management Responsibilities  Management is responsible for designing, implementing, and maintaining effective internal controls, including evaluating and monitoring ongoing activities, tol help ensure that appropriate goals and objectives are met; following laws and regulations; and ensuring that management and financial information is reliable and properly reported. Management is also responsibie fori implementing systems designed to achieve compliance with applicable laws, regulations, contracts, and grant agreements. You are also responsible for the selection and application of accounting principles, for the preparation and fair presentation of the financial statements and all accompanying information in conformity with U.S. generally accepted accounting principles, and for compliance  with applicable laws and regulations and the provisions of contracts and grant agreements.    Management is also responsible for making all financial records and related information available to us and: for the accuracy and completeness ofthati information. You are also responsible for providing us with (1) access to all information ofwhich you are aware that is relevant to the preparation and fair presentation oft the financial statements, (2) additional information that we may request for the purpose oft the audit, and (3) unrestricted access to persons within the government from whom we determine it necessary to obtain audit evidence. Your responsibilities include adjusting the financial statements to correct material misstatements and for confirming to us in the written representation letter that the effects of any uncorrected misstatements aggregated by us during the current engagement and pertaining to the latest period presented are immaterial, both  individually and in the aggregate, to1 the financial statements taken as a whole.  You are. responsible for the design and implementation of programs and controls to prevent and detect fraud, and for informing us about all known or suspected fraud affecting the government involving(I): management, (2) employees who have significant roles in internal control, and (3) others where the fraud could have a material effect on1 the: financial statements. Your responsibilities include informing us ofyour knowledge ofany allegations ofi fraud, or suspected fraud, affecting the government received in communications from employees, former employees, grantors, regulators, or others. In addition, you are: responsible for identifying and ensuring that the government complies with applicable laws, regulations, contracts, agreements, and grants and for taking timely and appropriate steps to: remedy fraud and noncompliance with provisions ofl laws, regulations, contracts You are responsible for the preparation of the supplementary information, which we. have been engaged to report on, in conformity with U.S. generally accepted accounting principles. You agree to include our report on the supplementary information in any document that contains and indicates that we have reported on the supplementary information. You also agree to include the audited financial statements with any presentation of the supplementary information that includes our report thereon OR make the audited financial statements readily available to users of the supplementary information no later than the date the supplementary information is issued with our report thereon. Your responsibilities include acknowledging to us in the written representation letter that (1): you are responsible for presentation of the supplementary information in accordance with GAAP; (2)s you believe the supplementary information, including its form and content, is fairly presented in accordance with GAAP; (3) the methods of measurement or presentation have not changed from those used in the prior period (or, ifthey have changed, the reasons for such changes); and (4)3 you have disclosed to us any significant assumptions ori interpretations underlying the measurement or presentation oft the supplementary information. Management is responsible for establishing and maintaining a process for tracking the status ofaudit findings and recommendations. Management is also responsible for identifying and providing report copies of previous financial audits, attestation engagements, performance audits or other studies related to the objectives discussed int the Audit Objectives section of this letter. This responsibility includes relaying to us corrective actions taken toa address significant findings and recommendations resulting from those audits, attestation engagements, performance audits, or other studies. You are also responsible for providing management's views on our current findings, conclusions, and recommendations, as well as your planned corrective actions, for the report, and for With regard tot the electronic dissemination of audited financial statements, including financial statements published electronically on your website, you understand that electronic sites are a means to distribute information and, therefore, we are not required to read the information contained ini these sites or to consider the You agree to assume all management responsibilities relating to the financial statements and related notes and any other nonaudit services we provide, You will be required to acknowledge in the management: representation letter our assistance with preparation oft the: financial statements and related: notes and that you haye reviewed and approved the financial statements and related notes prior to their issuance and have accepted responsibility for them. Further, you agree to oversee the nonaudit services by designating an individual, preferably from senior management, with suitable skill, knowledge, or experience; evaluate the adequacy and results of those services;  or grant agreements, or abuse that we report.  the timing and format for providing that information.  consistency of other information in the electronic site with the original document.  and accept responsibility for them.    Engagement. Administration, Fees, and Other  We understand that your employees will prepare all cash, accounts receivable, or other confirmations and We will provide copies of our reports to the Town; however, management is responsible for distribution ofthe reports and the financial statements, Unléss restricted by law or regulation, or containing privileged and confidential information, copies of our reports are to bei made available forj public inspection. The audit documentation for this engagement is the property ofLowdermilk Church & Co., L.L.P. and constitutes confidential information. However, subject to applicable laws and regulations, audit documentation and appropriate individuals will be made available upon request and in a timely manner to the Local Government Commission or its designee, a federal agency providing direct ori indirect funding, or the U.S. Government Açcountability Office for purposes ofa quality review ofthe audit, to resolve audit findings, or to carry out oversight responsibilities. Wewill notify you ofany such request. Ifrequested, access to such audit documentation will bej provided under the supervision ofLowdermilk Church & Co, L.L.P. personnel. Furthermore, upon request, we: may. provide copies of selected audit documentation to the aforementioned parties. These parties may intend, or decide, to distributei the copies, or information contained therein, to others, The audit documentation for this engagement will be retained fora a minimum offive years after the report. release date or for any additional period requested by the Local Government Commission, Ifwe are aware that a federal awarding agency or auditee is contesting an audit finding, we will contact the party(ies) contesting the audit James E. Lowdermilk is the engagement partner and is responsible for supervising the engagement and signing the reports or authorizing another individual to sign them. To ensure that Lowdermilk Church & Co., L.L.P.'s independence is not impaired under the. AICPA Code ofProfessional Conduct, you agree to inform the engagement partner before entering into any substantive employment discussions with any of our personnel, Our foe for these services will be at our standard hourly rates, plus out-of-pocket costs (such as report reproduction, word processing, postage, travel, copies, telephone, etc.) except that we agree that our gross fee, including expenses, will not exceed $11,100, Our standard hourly rates vary according to the degree of responsibility involved and the experience level ofthe personnel assigned to your audit. Our inyoices for these fees will be rendered each month as work progresses and are payable on presentation. In accordance with our firm policies, work may be suspendedi ifyour account becomes 30 days or more overdue and may not be resumed until your account is paid in full. Ifwe elect to terminate our services for nonpayment, our engagement will be deemed tol have been completed upon written notification of termination, even ifwe have not completed our report. You will be obligated to compensate us for all time expended and to reimburse us for all out-of-pocket costs through the date oftermination, The above fee is based on anticipated cooperation from your personnel and the assumption that unexpected circumstances will not be encountered during the audit. Ifsignificant additional time is necessary, we will discuss it with you and arrive at a new fee estimate before we incur the additional costs. We are required to inform you that we charge interest at rate of 18% per annym on all invoices over 30 Your may request that we perform additional services not addressed in this engagement letter, Ifthis occurs, we will communicate with you regarding the scope of the additional services and the estimated fees. We also may issue a separate engagement letter covering the additional services. In the absence ofany other written communication from us documenting such additional services, our services will continue to be governed by the  schedules we request and will locate any documents selected by us for testing.  including other governmental agencies,  finding for guidance prior to destroying the audit documentation.  days old.  terms of this engagement letter.    Our audit engagement ends on delivery of our audit report. Any follow-up services that might be required willl be a separate, new engagement. The terms and conditions oft that new engagement will be governed by a new, We are providing you with a copy of our 2015 external peer review report which accompanies this letter. We appreciate the opportunity to be of service to the Town of Sawmills and believe this letter accurately summarizes the significant terms ofour engagement. Ifyou have any questions, please let us know. Ifyouagree with the terms of our engagement as described in this letter, please sign the enclosed copy and return itt to us.  specific engagement letter for that service,  James E. Lowdermilk Partner RESPONSE:  Taus  This letter correctly sets forth the understanding ofTown of Sawmills.  Management signature: Title: Date: Governance signature: Title: Date:    BERNARD. ROBINSON Company LLE Gtm.bom,NCIPANC/Vhsensle.NC  CartledPbie-AcoumentendAdhor-sine 1947  System Review Report  September 24,2015  To the Partners ofLowdermilk Church & Co.,L.L.P. and the. Peer Review Committee oft the North Carolina Association of Certified Public Accountants  We have reviewed the system of quality control for the accounting and auditing practice of Lowdermilk Church & Co., LL.P, (the firm) in effect for the year ended May 31,2015. Our peer review was conducted in. accordance with the Standards for Performing and Reporting on Peer Reviews established by the Peer Review Board of the American Institute of Certified Publio Accountants. As a part of our peer review, we considered reviews by regulatory entities, if applicable, in determining the nature and extent of our procedures. The firmi is responsible for designing a system- of quality control and complying with it to provide the firm with reasonable assurançe of performing and reporting in conformity with applicable professional standards in all material respects. Our responsibility is to express an opinion on the design of the system of quality control and the firm's compliance therewith based on our review. The nature, objectives, scope, limitations of, and the procedures performed in a System Review are described in the As required by the standards, engagements selected for review included engagements performed Ino our opinion, the system1 of quality control for the accounting and auditing practice of Lowdermilk Church & Co.,L.L.P. in effeot for the year ended May 31, 2015, has been suitably designed and complied with to provide the firm with reasonable assurance. of performing and reporting in conformity with applicable professional standards in all material: respects. Firms can receive ai rating of pass, pass with deficiency(ies) or fail. Lowdermilk Church & Co., LL.P. has  standards at ww.agpaatypaummay,  under Government. Auditing Standards and audits of employee benefit plans.  received aj peer review rating ofpass.  Bema Rokmem Cmpany 88P BERNARD ROBINSON & COMPANY,L.L.P, Ofice: 1501 Highwoods Blvd, Suite 300. Greensbor,NC27410 Maling: PO. Box 19608.Greensboro, NC27419-9608 Phone 042944P-Px@2PS.wwbrpucon  Memberofa GiobalAssodation andConsutanyPims ofhndepaendemtAroumig DES.    AGENDA ITEM 10A  MEMO DATE: SUBJECT:  November 21, 2017 Discussion Matters: Sawmills Fire Department  Water Bill  Discussion:  The Sawmills Fire Department has requested the Town Council to formally address their November 2017 water and sewer bill. During the month ofOctober, the Sawmills Fire Department (SFD) building water meter recorded 59,000 gallons of water passed through the meter. The SFD typically uses between 3,000 and 5,000 gallons ofwater from this meter. Due to the abnormal use ofwater staff flagged the meter to be re-read. The meter was checked and re-read by Public Works Director Ronnie Coffey on October 25th, 2017, at which point the meter was functioning properly. The meter did indicate active water use at the time of the re-read. Due to the nature ofthe active use, Director Coffey spoke with a fire fighter in the building. They were able identify a leaking commode in the building. The commode was: repaired that day, and Director Coffey re-read the water meter for the third time, which showed the meter has  stopped turning since the commode was repaired.  The Sawmills Fire Department has requested al bill adjustment. Based off the staff's interpretation town's Utility Billing Policy commodes are: ineligible for a water and sewer credit. The policy currently reads, "The Town will adjust water and sewer use on bills in case ofhidden underground leaks in service lines located between the meter and the house and busted or leaking pipes inside the home." Town staffhave never offered a credit for a broken commode or faucet. Currently staffneeds guidance on how staffshould proceed regarding the SFD water and sewer bill. Ifthe Council desires to amend this bill, staffrecommends the council amend the Utility  Billing Policy SO that refunds and billing is consistent with all customers.  Recommendation:  Staffrecommends Council discuss this matter and decide how they wish to proceed.    11/10/2017 00:06 -9283968955  TOWN OF SAWMILLS  PAGE 01/01  Town of Sawmills REQUEST FORA ACTION. ITEM TOBEPLACED ON AGENDA  Requests need to be filled out and submitted by the first Friday of the month to be considered for  that month's Town Council meeting. Request item to be on the agenda:  (Please describel briefly) Please attach any material you would like to submit: for consideration: Extgane WBIL Gnlle FcDat  Person attending Town Council meeting requesting to speak: Telephone number: 88 856 Addtess: 463 HeEw  Ghule L AC SRGO  DNun Ree  Tol be filled in by staff: Staff Comments:  Prior' Town Council Action:  TO/TO 39Vd  VLOAOL NOSNHOT EMIW  999EP29838 Wd63:31 LTOZ/0T/LL    1. Water service charges 2. Sewer service charges 3. Solid waste service charges  4. Charges and fees-such as, but not limited to, late payment penalties, delinquency fees, reconnect service charges, and charges resulting from damage to Department equipment and/or property.  G. UTILITY BILLING POLICY  Meters are read on or about the 13th of the month. Any new account that is open before the 13th of the month is made active. Any new account that is open after the 13th of the month is made active after the utility bills are printed for the month. Water taps are made active the day the tap is completed and the information is turned into the Town Hall. Utility payments are not pro- rated. Accounts are made active from the 1st to the 13th of the month are charged the minimum usage, unless the meter shows greater consumption. A sanitation fee of $8.00 per month ($96.00 per year) will be assessed to each resident inside city limits in addition to water usage charges. This is an availability fee. An account with water and/or sewer and sanitation that deliberately refuses to pay the sanitation fee; can be disconnected due to an outstanding balance owed. If the account is sanitation only, and in the event of non-payment, the trash can will be picked up until all past due fees are paid  in full.  H. BILLADIUSTMENT FOR LEAKS  The Town will adjust water and sewer usage on bills in case of hidden underground leaks in service lines located between the meter and the house  and busted or leaking pipes inside the home. A customer may seek an adjustment by:  1. Bring a letter signed by the landlord showing when the leak occurred and explaining the circumstançes involving the leak to 2. Provide a copy of the plumber's statement for completing the repair or receipts of parts bought to repair the leak.  the Town Hall.    Adjustments will be calculated as follows:  1. The customer's normal usage will be determined by taking an average of the water usage for the last 6 months. This amount will be billed at the standard rate. 2. The amount of water/sewer used over the average usage will be considered the excess amount caused by the leak. 3. For sewer-the excess amount will be multiplied by $6.90 per 4. For water-the excess amount will be divided in % and multiplied by $6.25 per 1,000 gallons.  1,000 gallons.  . WORK ORDER POLICY  Brush Pick Up: When possible, brush pickup will take place within three (3) working days after a work order is placed. If public works cannot collectit within three (3) day, it will be picked up as soon as possible. There is no charge for brush pick up, unless it takes two (2) employees longer than thirty (30) minutes to clean up. Thirty (30) minutes to an hour is a minimum charge of $75.00. Ifit takes longer than one (1)hour, there is an addition fee of $75.00 per hour or portion thereof. Limbs should be no larger than four (4) inches in diameter and the entire pile should be no longer than five (5) foot wide by five (5). foot tall by twelve (12)long. Tree trunks, logs, and stumps will not be collected and must be separated out from the brush pile. No brush from commercial tree trimming companies will be accepted or any brush from out of town. Brush will only be collected ifit is left on the curb and placed bunt in of the limb out in a neat pile. Ifthere is a charge, all WHITE GOODS & LARGE ITEMS: The Town collects white good items and large items that do not fit in your trash can. These items are collected on Friday. A work order must be placed for pickup, no later than by 5:00 pm on the Thursday before. White goods and large items will only be collected if they are left on the curb. The Town does not collect any electronics,  fees must be paid in advance before brush is collected.  building materials, metal or hazardous materials.  DEAD ANIMAL PICKUP: When possible, dead animal pickup will take place on the same working day as the date of work order. Ifr not, the pickup will be carried out the next working day. Only pets and wildlife laying on the road or right of way will be collected. No commercial animals such as hogs or  cattle will be collected.    AGENDA ITEM 10B  MEMO DATE: SUBJECT:  November 21,2017 Discussion Matters: Water and Sewer Rate  Structure  Discussion:  The Sawmills Town Council has had requests by citizens to discuss the water and sewer rate structure. Attached to this memo is the fee structure as approved in the budget, for the council's discussion. The current rate structure is part of the current, prepared and forecasted budget. Staff would propose to the council to allow for public discussion of water rates amongst other issues during the January, "Coffee with the Council" meeting, which will have a date and time assigned to it during the December council meeting. This information can be used to help inform the 2018/2019 Fiscal Year budget, including but not limited to the water and sewer rate  structure. Recommendation:  Staff recommends Council discuss this matter and decide how they wish to proceed.    Town of Sawmills Fee Structure FY2017-2018 7012017-630/2018  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) Depbsit SewerDepesil Water Tap (34 ich tap) WaterTap(3/41 inchtap) Water Tap (2inchor greater) Waterlap/Q-nch orgreater) Sewerlap4.6inch, Sewer Availability Fee Water Rates (Insidles ToWI)  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% $1,500.001 plus 15% $1,000.00 $19.75 (current rate)  (per hour)- see policy for guidelines  IfSS# provided $50.00 (a 50% discount) IfSS# provided $50.00 (a 50% discount)  Inside Town Ousidelown InsideTown Outside Town Inside Town  ***NO OUTSIDE SEWER TAPS***  MAtninahakEgUNAe pereach additionalLongasu 7sUrcadhaditoiw 1000gals 4120mm enarge PeERONUhEUPtO 12:sUperadaitiona: 000gals upto 5REaAacditona 000ga  2000 gals 06000gals afler 6,000 gals 000gal 6000gals atter6,000ga  Water Rates (Ousidelownl  sewer Rates (Inside Eown) ***NO OUTSIDE SEWER*** Meterlamperne: Fee Sanitation Department: Sanitation Deposit Sanitation Fee  70m charge pormenthipte $690pet additional ca  000gal $75.00 $150.00 $20.00  Fire Hydrant Access Deposit (Contractors Only)  $800.permonth $96.00 peryear $7000(per can) $800.permontht  Extra Trash Can (rental fee). Sanitation Availablity-Fee    AGENDA ITEM11A  MEMO DATE: SUBJECT:  November 21,2017 Planning Matters: Planning Board Application  Discussion:  The Planning Board currently has a vacant "ETJ" position due to Clyde Miller being annexed into the Town limits. There are no applications on file for the Planning Board for an ETJ resident. The Town is currently looking for a resident of the ETJ to serve on the Planning Board.  Recommendation: No action required.    AGENDA ITEM 11B  MEMO DATE: SUBJECT:  November 21,2017 Planning Matters: Re-Appoint Planning Board Members  Discussion: 2017:  The term of appointment for the following Planning Board Members expired on September 1,  Kelly Price Ryan Wilson (ETJ)  Town Clerk Julie Good has contacted the members and both are willing to serve another term.  Recommendation:  Staff recommends Council re-appoint the two (2) members to the Planning Board.    AGENDA ITEM: 12A  MEMO DATE: SUBJECT:  November 21,2017 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.