January10, 2022 321 Stallings Road Stallings, NC 28104 704-821-8557 www.stalingsnc.org  Stallings Government Center  Town Council  Stallings  Agenda  Time  Item  Presenter Wyatt Dunn, Mayor  Action Requested/Next Step  7:00 p.m. Invocation  NA  Pledge of Allegiance Call the Meeting to Order  7:05 p.m. Public Comment 7:15 p.m. Consent Agenda 7:17 p.m. Reports  Wyatt Dunn, Mayor Wyatt Dunn, Mayor  NA  1. 2.  A. Minutes (1) 12-13-2021 A. Report from Mayor Committees Departments  Council and Staff NA  B. Report from Council Members/Town Report from Town Manager/Town Potter/Pleasant Plains Update  3.  7:45 p.m. Agenda Approval  Wyatt Dunn, Mayor  Approve agenda as written. (ADD, IFAPPLICABLE: with changes as described by Mayor Dunn) Motion: Imake the motion to: 1) Approve the Agenda as presented; or 2) Approve the Agenda with thej following changes: Approve/Deny pay Approve/Deny  4.  7:50 p.m. Police Department Incentive Pay  Dennis Franks, Police Chief Ashley Platts, and Recreation Manager Marsha Gross, Finance Officer  5. 8:00 p.m. Blair Mill Park Playground Implementation  Costs  Director of Parks implementation costs Alex Sewell, Town Approve/Deny contract  6. 7.  8:15 p.m. DFI Contract 8:30 p.m. Financial Items  Information and discussion  (A) Audit Letter (B) Five Year Plan    8.  9:00 p.m. Backyard Chicken Ordinance  Max Hsiang, Town Planner Kolleen Dickinson, Code Enforcement Wyatt Dunn, Mayor Wyatt Dunn, Mayor  Approve/ordinance  9. 9:10 p.m. Closed Session Pursuant to NCGS143-  Adjourn into closed session Motion to adjourn  318.11(a)(5) and (6)  Parcel 07129315, 132 Stallings Road  10. 9:30 p.m. Adjournment    MINUTES OF TOWN COUNCIL MEETING TOWN OF STALLINGS, NORTH CAROLINA  OF THE  The Town Council oft the Town of Stallings met for its regular meeting on December 13, 2021, at Those present were: Mayor Pro Tempore Lynda Paxton; Council Members Steven Ayers, Taylor-  7:00 p.m. at the Stallings Government Center, 321 Stallings Road, Stallings, North Carolina. Rae Drake; Heather Grooms, Graham Hall; Brad Richardson, and David Scholl.  Those absent were: Mayor Wyatt Dunn  Staff present were: Alex Sewell, Town Manager; Erinn Niçhols, Assistant Town Manager/Town Clerk; Mary McCall, Deputy Town Clerk; Chief Dennis Franks; Max Hsiang, Town Planner; Matthew West, Planning Technician; Brian Price, Public Works Director; Marsha Gross, Finance Officer; Melanie Cox,  Town Attorney; Mac McCarley, Town Planning Attorney.  Invocation, Pledge of Allegiance and meeting called to order  Mayor Pro Tem Lynda Paxton welcomed everyone to the meeting and Council Member Ayers delivered the invocation. Mayor Pro Tem Paxtonthen led the Pledge of Allegiance and called the  meeting to order.  Public Comments    Samuel Kiser, 225 Aurora Blvd, congratulated board members on their new/re-appointments, He was concerned aboutthe resolutioni to purchase the John Deere property, the transparency, and purchase price. He felt itdid not seem like a good deal based on the list price. Mr. Kiser asked the Council if it would make this kind of deal personally. If it was not a good deal, why was the Council looking to purchase it? Mr. Kiser wanted to know what the Council planned on doing with the property. Hei felt that Charlotte area consultants were not good and could not be relied on for this type of decision. Mr. Kiser stated he grew up in Stallings and feltt that (got emotional) he had seen too much farmland turned into houses. Julie Filter, 1215 Privette Park Place, reiterated what she said at the last Stallings meeting about pulling Stallings into standards of neighboring towns regarding and allowing backyard chickens. Maria Bradcock, Stallings, supported the amendment to allow backyard chickens as chickens were Joyce Rupert said thank you to the Council for addressing all of her concerns: the sugar shacks; grass height along Monroe Road; and her backyard flooding on Fresia Place. She appreciated the Council's  emotional support animals for her son.  effort and wished everyone happy holidays and a good 2022.  11894  December 13, 2021    1. Approval of Consent Agenda Items A. Minutes from thei following meetings: (1) 10-07-2021 = closed (2) 10-11-2021 (3) 10-11-2021-C closed (4) 10-14-2021-8 emergency (5) 10-14-2021- closed (6) 10-20-2021 - special (7) 10-20-2021 - closed (8) 11-08-2021 - special (9) 11-08-2021- = closed -1of2 (10) 11-08-2021 (11) 11-08-2021 - closed 2 of2 (12) 11-16-2021 - special (13) 11-16-2021 - closed (14)11-17-2021 - special (15) 11-17-2021 - closed (16) 11-22-2021 (17)12-06-2021-5 special (18) 12-06-2021 - closed  B. Request staff to draft ordinance allowing chickens under certain conditions (Grooms)  Resolution Adopting NCDOA New Retention Schedule Update  D. Employee Christmas Bonus  . - Freesia Court Drainage Improvement Project  F. Downtown Streetscape Work & GrantAuthorization Staff Recommendations  Council Member Richardson made the motion to approve the Consent Agenda Items with removing Consent Agenda Item 1.B. Requeststaff to draft tordinance allowing chickens under certain conditions (Grooms) and adding it to the regular Agenda as Agenda 11, moving original Agenda Item 11, Adjournment, to Agenda Item 12 as well as renaming Agenda Item 1.D. as Employee Christmas Bonus. The motion was seconded by Council Member Scholl which passed unanimously by Council. The Resolution Adopting NCDOA New Retention Schedule Update is attached to these minutes and therefore incorporated herein.  2. Reports  A. Report from the Mayor Mayor Dunn was not present to give a report.  B.! Reports from Council Members/Town Committees  Council Member Paxton, as it was her last meeting with the Town Council, shared her experience with being Mayor and member of Council. Ms. Paxton first ran for Mayor in 2015 due to the fact that she did not like the way Town was going at that time. Council Member Paxton was proud of where the Town  11895  December 13, 2021    had come from and where the Town was headed. She thanked the people as the only purpose of  government was to serve the people. Ms. Paxton expressed her gratitude.  Council Member Scholl announced he was selected to participate in 2022 Advanced Leadership  Corp. in Chapel Hill.  Council Members Grooms, Ayers, and Richardson had no reports.  C. Report from Town Manager/Town Departments Town Manager Sewell reported on the following:  Christmas Tree Lighting was a success and thanked the staff and Council fortheir efforts Quantitative roadway assessment was being donethroughout the Town by Kimley-Horn. New Council Member Bootcamp had been scheduled for early. January. The Essentials of Local Government Course the Council had chosen would be. January 6 and Aspeaker has been secured fori the Council'sannual retreat, Curt Walton.  with that event.  7,2022  Police Chief Franks présented the Council with the Stallings Police Department Incentive Plan. This presentation is attachedtoi these minutes and therefore incorporated herein. The plan would be brought  to Council in. January fori formal approval.  3. Agenda Approval  Council Member Paxton requestedadding Request staff to draft ordinance allowing chickens under certain conditions (Grooms) as Agenda Item 11, moving Adjournment to Agenda Item 12, per Consent  Agenda action.  Council Member Richardson made the motion to approve the Agenda with the above listed  changes. The motion was seconded by Council Member Ayers and passed unanimously.  4. Stinson Farms  Planning Attorney Mac McCarley summarized the Stinson Farms issue for the Council and the AConditional Zoning (CZ) application for Stinson Farms was received by the Town of Stallings in 2019. Council negotiated with developers for 18 months to order to have the  public:  plan match the Town's comprenensive land use plan.  11896  December 13, 2021    April 2021: The development agreement (DA) associated with the Stinson Farms project was defeat by the Council and the therefore the CZ application was removed by the developer. Several months later, the developer filed al lawsuit against the Town with several claims including the Town's lack the authority to require a DA: as a part of a rezoning; the decision to deny was arbitrary and capricious and violated due process; and the decision was less favorable to the developer than the Town had been to other developers. The developer's demand was a by-right development under MU2, attorney's fees and The Town's response was that the statute was silent on the issue and there was no case law on the issue making the case a! 50/50 case; winner take all case with no middle ground. Town began negotiations immediately with a mediated. settlement conference on November 4, 2021, starting with the April 2021 site plan, DA, and CZ plan as the base.  significant damages.  The parties' negotiations included: ) D Developer  Received amendment toi the DA and site plan which allowed the swapping out of 271 townhomes for three apartment buildings; net increase of 45 units Received additional buffers at Ansley Court; 100 ft. buffer with a 5' brick wall without taking out mature trees. New evergreen trees would be planted on the outside of the, walls SO the existing residents would see the trees first. Received a guarantee that one of the development parcels on Idlewild would be a full-service restaurant,not receiving more than five certificates of occupancy for property along Idlewild Road until the developer has at least a Avoided the risk ofr maximum development without any concessions Preserves the developer obligations for roadway improvements from Stevens  Received one additionalfast-food restaurant on Idlewild  Town  zoning compliance permit fori that restaurant No attorney'si fees or damages to the plaintiff  Mill to the CZsite.  Planning Attorney McCarley recommended settling the lawsuit with the above terms as well as  approving CZ12.02.01. He also recommended approving the settlement in open session.  (A). CZ21.02.01  Mayor Pro Tem Paxton opened the public hearing and Town Planner Hsiang presented the Council with the information on CZ21.02.01. The applicant was requesting CZMU2 to allow one multi-family unit with 24 dwelling units; any non-residential uses permitted by right in the MU-2; convenience store with a gas pump OR restaurant with a drive-thru window; and 5 year vested rights. Mr. Hsiang's presentation to  Council is attached to these minutes and therefore incorporated herein.  Staff stated the request was inconsistent with the land use plan. The Planning Board recommended  denial of the CZI by a3to 2 vote because it was inconsistent with the future land use plan.  11897  December 13, 2021    Kevin Lindsay, 5639 Anglesy Court, thanked Mayor Pro Tem Paxton for her service. He also requested his time be yielded to. Jeannie Lindsay and voiced support of. Jeannie's, his wife, comments. Jeannie Lindsay, 5639 Anglesy Court, stated land use plans were developed long before the Stinson Farm application. The lawsuit filed did not reflect the vision of the Town. The residential use would cause noise complaints. Homes in the area would have to deal with noise and air pollution due to 1485. Real estate websites now used noise level as filter. Why was the Town doing this to the people who could only afford this housing (noise and pollution)? The development was unreasonable. It was a no-win lawsuit for the Town. The traffic issue on Idlewild was already present and NCDOT would widen to six lanes with this development. The project was not in keeping with land use plan and a meeting with an HOA was not considered a public hearing. Shannamara was not notified because itwasn't within 500 ft. of the project but would stand to be affected by the project. It appeared the developers wanted the CZ1 to be a part of the overall site plan but only the CZI boundaries were used for notification requirements. She felt the Town had to get tot the root cause which was to decide which oft the Town documents had weight. Ms. Lindsay requested that the Council's vote to be postponed and wanted the CZ application tol be sent back to the  applicant for revision.  Attorney. Jon Carmichael on behalf of the applicant added there were architectural standards for commercial and multifamily buildings. A1 Traffic Impact Analysis was done for Stinson Farms and transportation improvements would be donealong Idlewild. As fara as land use consistency, he felt it was  consistent with the Town's policy.  Mayor Pro Tem Paxton closed the public hearing. Council discussed and voiced their opinions on the CZ. Council Member Richardson then made the motion to approve CZ21.02.01 which was seconded by  Council Member Ayers. The motion passed unanimously by Council.  Council Member Scholl madethe motion to approve the Statement of Reasonableness and Consistency forCZ21.02.01 which found most oft the uses as consistent and that the request was consistent with the adjacent development. The motion was approved unanimously by Council after a second by Council Member Grooms. The Statement of Reasonableness: and Consistency for CZ21.02.01 is attached to  these minutes and therefore incorporated herein.  (B) Settlement Agreement  Council Member Richardson made the motion to approve the Settlement Agreement for Stinson Farms. Council Member Scholl seconded the motion to which Council passed unanimously. The Settlement Agreement for Stinson Farms is attached to these minutes and therefore incorporated  herein.  5. RZ21.08.06-132: Stallings Road - Rezoning from TC1 to SFR-1  This item was removed, from the Agenda.  11898  December 13, 2021    6. TX21.11.04- = Table 8.1: Table of Uses Update  Mayor Pro Tem Paxton opened the public hearing. Town Planner Hsiang gave the Councila summary of the changes proposed to the Table of Uses. Mr. Hsiang'sr memo to Council with the changes  is attached to these minutes and therefore incorporated herein.  The Planning Board approved the changes on 12-13-2021 with the recommendation of lumping uses together into categories next time more changes were brought to the board. Mayor Pro Tem  closed the public hearing.  Council Member Ayers made the motion to approve TX21.11.04-Table 8.1: Table of Uses Update which was seconded by Council Member Scholl. The motion received Council's unanimous  support.  Council Member Scholl made the motion to approve the Statement of Reasonableness and Consistency for TX21.11.04 - Table 8.1: Table of Uses Update.Themotion was approyed unanimously by Council after a second by Council Member Ayers. The Statement of Reasonableness: and Consistency for TX21.11.04 - Table 8.1: Table of Uses Update is attached to these minutes and therefore  incorporated herein.  7. Resolution for Purchase of2725 Old Monroe Road  Town Manager Sewell explained that the one oft the Council priorities was to create a downtown and property site control was a key part oft the downtown according to the Downtown Action Plan especially in the Town Center Area. Council then gave its individual opinions on the creating a downtownand purchasing property in orderto do that. The plan for the property was to partner with a  developer to develop a public private partnership for creating a downtown.  Council Member Scholl made the motion to adopt the Resolution for Purchase of 2725 Old Monroe Road. The motion wasp passed unanimously after a second from Council Member Ayers. The Resolution for Purchase of/2725 Old Monroe Road is attached toi these minutes and therefore  incorporated herein.  8. Recognition of Outgoing Council Member Lynda Paxton  On behalf of Mayor Wyatt Dunn, Town Manager Sewell presented Council Member Lynda Paxton with a Proclamation and plaque for her service. The Proclamation in Recognition of Outgoing Council Member Lynda Paxton is attached to these minutes and therefore incorporated herein.  11899  December 13,2021    Assistant Town Manager Nichols also read into the record sentiment from Mayor Wyatt Dunn  for Council Member Paxton. These sentiments are attached to these minutes and therefore  incorporated herein.  9. Oaths of Office  A.! Re-appointed Council Members Brad Richardson David. Scholl B. New Council Members Taylor-Rae Drake Graham Hall  Town Clerk Nichols gave each of the above Council Members their OathsofOffice. These Oaths  of Office are attached to these minutes and eretopmcpoatedheren  Clerk Note: Duet to the Mayor's absence, Mayor Wyatt Dunn took his Oath of Office on Tuesday,  January 4, 2022. Mayor Dunn's Oath of Office is also attached to these minutes and therefore  incorporated herein.  Council took a recessat 8:40 p.m. and reconvened at 8:46 p.m.  Newly appointed Council Members Drake and Hall took their places at the Council Dias. Town Manager Sewell called the meeting back to order in the absence of the Mayor and al Mayor Pro Tem.  10. Organizational Meeting Items A. Appointment of Mayor Pro Tempore  Council Member Ayers made the motion to appoint Council Member Scholl as Mayor Pro Tem.  The motion was passed unanimously: after a second from Council Member Grooms.  Mayor Pro Tem. Scholl then presided over the meeting.  B. Appointment of Charlotte RegionalTansportation Planning Organization (CRTPO)  alternate delegate. (The Mayor ist the automatic delegate.) Mayor Pro Tem Scholl would serve as the CRTPO alternate delegate.  11900  December 13, 2021    Clerk's/ Note: On 12-14-2021, Mayor Dunn changed this appointment. Council Member  Richardson was appointed as the CRTPO delegate inj place of Mayor Pro Tem Scholl.  C.A Appointment of Centralina Regional Council (CRC) delegate and alternate Mayor Pro Tem Scholl would be the CRC delegate and Council Member Ayers would bei the CRC  alternate.  D. Appointment of Council Members for the following committeès:  All terms are for two (2) years. Mayor Pro Tem Scholl  (1)! Planning Board/Board of Adjustment (2). Parks and Recreation Committee Council Member Ayers and Grooms (3) Public Safety Advisory Committee Council Member Grooms and Hall (4)Transportation Advisory Committee Mayor Pro Tem Scholl and Council Member Richardson (5) Stormwater. Advisory Committee Council Members Ayers and Hall (6)! Historical Committee Council Members Drakeand Grooms (7)U Union County Public Schools  Council Member Drake (8)QUADAlliance Mayor Dunn (9)WUMA Council Member Ayers  (10) Economic Development Committee Mayor Pro Tem Scholl and Council Member Richardson (11)Technology Committee Mayor Pro Tem Scholl and Council Member Ayers  11901  December 13, 2021    E.! Rules of Procedure re-adoption  Council Member Richardson made the motion to re-adopt the Rules of Procedures. The motion  was seconded by Council Member Ayers and passed unanimously.  F.Approval of 2022 Meeting Schedule  Council Member Drake made the motion to approve the 2022 Meeting Schedule. The motion  was passed unanimously after a second by Council Member Richardson.  G.A Approval of 2022 Holiday Schedule  Council Member Hall moved to adopt the 2022 Holiday Schedule. Council Member Grooms  seconded the motion which was passed unanimously by Council:  H. Annual Retreat - Feb. 12, 2022  Council Member Richardson made the motion to hold the Town Council Annual Retreat on February 12, 2022. The motion was passed unanimously by Council after a second by Council Member  Hall.  Planning Board Alternates (Sewell)  Town Manager Sewell explained there wassomeconfusion as to when al Planning Board Alternate moved into al Full Member position. Council held consensus to have staff research the law on  this item and bring backto Council forrecommendation inJ January.  11. Request staff to draftordinance: allowing chickens under certain conditions (Grooms) Council Member Grooms requested Council feedback on backyard chickens and whether or not Council Member Richardson made the motion to have staff bring back a draft ordinance allowing backyard chickens for Council consideration. Council Member Hall seconded the motion. The  the Council was interested in pursuing an ordinance change on this topic.  motion passed by a 5t tolvote with Mayor Pro Tem Scholl opposing.  12. Adjournment  Council Member Richardson moved to adjourn the meeting, seconded by Council Member Ayers, and the motion received unanimous support. The meeting was adjourned at 9:37 p.m.  11902  December 13, 2021    Approved on  2022.  Wyatt Dunn, Mayor Approved as to form: Cox Law Firm, PLLC  Erinn E. Nichols, Town Clerk  11903  December 13, 2021    11904  December 13, 2021    MEMO  To: Town Council Date: 1/6/22  From: Alex Sewell, Town Manager  RE: Status Update - U-5112-1 Potter-Pleasant Plains Intersection  Purpose: This memorandum' s purpose is to provide background and an update on  the above referenced project.  Background:  The Town has been working in partnership with NCDOT and Union County to expedite needed improvements to the intersection of Potter Road and Pleasant Plains Road using a mix oflocal and State/Federal funds. Fora a complete project background, please find an enclosed memorandum dated 6/23/21 which is enclosed below and incorporated by reference. Please see an estimated breakdown of expenditures as of6/22/21, estimated future expenses, and funding in the table below. Unless otherwise noted, please note that these numbers are preliminary estimates. They can and likely will change for a variety of reasons as we move closer to and into actual construction. Also, please note that greater the passage of time, the greater the likelihood that these numbers are out ofdate.especially in the volatile construction environment in the context of a higher  inflation economy nationwide. POTTER ROAD/ PLEASANT PLAINS SUMMARY ORIGINAL PROJECT FUNDING  6/23/2021  NON-FEDERAL NON- FROMTOWN $400,000  FUND SOURCE HSIP STP-DA Total  REIMBURSEME MATCHS NTI RATE 100% 80%  FEDERAL RATE R 20%  FEDERAL FUNDS AMOUNT $825,000 $1,600,000 $2,425,000  COSTS1 TODATE TOWN OF STALLINGSCOSTS  COST (Paid Unless Noted Otherwise) $1,183,091.59  ITEM 1  DESCRIPTION RIGHT OF WAYA ACQUISITION  TOTAL TO DATE  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    2 3 4 5 6 7 8  LEGAL KIMLEY HORN- DESIGN SERVICES THC- ROWA ACQUISTION WORK SURVEY SEPTIC: SERVICES DUKE ENERGY UTILITY RELOCATION (INCURRED)** DOT OVERSIGHT (INCURRED) TOTAL COSTS PAID & INCURRED (-)DESIGN TOTAL COSTS PAID (-) DESIGN TOTAL COSTS PAID &I INCURRED TO DATE **Paid $228,006.74 oft this amount already.  $11,459.38 $436,612.81 $131,549.22 $760.00 $4,800.00 $491,436.67 $68,589.46  $1,891,686.32 $1,559,666.93 $2,328,299.13  TOTAL  CONSTRUCTION COSTS- MOVING FORWARD  ITEM 1 2 3 4 5 6 7 8  DESCRIPTION  COST $3,856,439.25 $964,109.81 $771,287.85 $158,165.11 $50,000.00 $491,436.67 $50,000.00 $5,000.00  TOTALI ESTIMATED COSTSTO COMPLETE  CONSTRUCTION ESTIMATE CONTINGENCY + ESCALATION (25%) CEI and NCDOT OVERSITE (20%) STATE SAP COMPUTER COSTS (2.6%) ENGINEER OF RECORD COORD., PLAN UPDATE, BIDS SUPPORT, ETC. DUKE ENERGY UTILITY RELOCATION (INCURRED)** LANDSCAPING LANDSCAPING DESIGN  TOTALI ESTIMATED CONSTRUCTION COSTSTO **Paid $228,006.74 oft this amount already.  COMPLETE  $6,346,438.70  Estimated Construction Betterments ITEM  DESCRIPTION Water & Sewer Upgrades Landscaping + Design Mast Arms Upgrade TOTAL ESTIMATED BETTERMENTS TOTAL ESTIMATED CONSTRUCTION COSTI MINUS BETTERMENTS  COST $1,360,155.00 $55,000.00 $100,000.00 $1,515,155.00 $4,831,283.70  1 2 3  ESTIMATED FUNDING AND POTENTIAL OUT OF POCKET COSTS  REMAINING FUNDING BALANCE  DESCRIPTION  FUNDING $2,425,000.00 ($1,215,505.05) ($68,589.46)  ORIGINAL FUNDING  TOTALI FEDERAL FUNDS LESS REIMBURSEMENT FROMI NCDOT LESS NCDOT OVERSIGHT COSTS INCURRED  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    REMAINING ORIGINAL FEDERAL FUNDS  AVAILABLE  $1,140,905.49  Administration, Grant Funding Support, ESTIMATED COSTS INCURRED/TO COUNTYSEWER REIMBURSEMENT (COSTS POTENTIAL OUT OF POCKET COSTS BEFORE ADDITIONAL FUNDS* CRTPO Budget Shortfall Funds Awarded Potential Estimated Out of Pocket* Additional NCDOT Funds to Be Spent Last on! Non- Betterment Costs Above Estimates *Based on estimates. Actual costs could be higher orl lower.  ADDITIONAL COSTS Legal, Misc.  ($10,000.00) ($6,346,438.70)  COMPLETE  UNION CO FUNDING INCLUDED. ABOVE)  $936,175.00 ($4,279,358.21) $2,197,600 (52,081.758.21) $300,000.00  NEW FUNDING Total  Per the above chart, the Town's estimated additional out of pocket cost for this project is $2,081,758.21 including a combined 25% contingency and escalation factor. In contrast, the original 2014 agreement with NCDOT appears to contemplate a local commitment of $400,000 (not including Any actual costs above estimated/funded amounts would be the Town's responsibility except for the $300,000 provided by NCDOT for costs beyond Notably, the Town Council could choose not to fund enhanced landscaping and just have grass around the intersection. This deletion is estimated to Tomove forward, the Town would need to enter into a supplemental agreement with NCDOT. The original agreement with NCDOT would otherwise remain valid. Notably, iti is estimated to take at least a couple months from Town Council giving the authorization to proceed to get a Please note that staffhave worked diligently with representatives from CRTPO and NCDOT and done everything in our power to verify what parts ofthe project are eligible for reimbursement. Unfortunately, not all items As discussed at the 6/14/21 Council meeting and subsequently, the American Rescue Plan (ARP) expenditure guidelines are still evolving and there are a lot ofunknowns. However, the N.C. League ofMunicipalities 1AI larger contingency and escalation factor is recommended due to current construction market conditions and  design).  what is estimated/funded for non-betterment work.  save about $55,000.  supplemental agreement inalized/executed.  are eligible for reimbursement.  potential timeline.  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    has advised that previous interim guidance specifically excludes transportation infrastructure projects from eligibility.  On 6/28/21, staff updated the Town Council on outstanding issues, available options to move forward with the project, and a rough time estimate for  beginning construction work. On7/12/21,the Town Council decided to:  Use Town funds to allow NCDOT to add several left turn signal To continue to press our State elected officials for additional funds. To continue to press NCDOT for further assistance. Ine early August 2021,NCDOT installed the additional left turn phases at the On 8/18/21, Rep. Arp's office confirmed that the $1.6 million in the NC House's approved budget could be used towards the Town's local match for the Potter/Pleasant Plains intersection project (ift the funding remains after discussions with the Senate, both chambers approved the budget, and then On 11/9/21, the Town was informed that the NC Senate had agreed to put $1.6 I million in the state budget but had added language indicating that the $1.6 million in funding "shall be used exclusively for property owned by the grant recipient city, county, or regional council of government." It was reported to the Town that the Senate put this additional language into the budget over perceived concerns that projects receiving additional grants could unfairly move ahead ofother transportation projects on the State's "STIP" ranking system (which prioritizes funding for state transportation projects based on a scoring criteria). However, this additional language is potentially problematic because the Town had requested these funds to help with the Potter/Pleasant Plains intersection and this intersection is mostly Subsequently, the Town tried urgently to get this potentially problematic language changed. However, these efforts were unsuccessful as the state  phases to help with traffic congestion.  intersection.  the Governor signs the budget into law).  owned by the State (and not the Town). budget was signed into law on 11/18/21.  The Town is waiting on a determination from the NC Office of State Budget and Management (OSBM) on whether the Town could use the $1.6 million in funds towards the purchase of2725 Old Monroe Road (and thus free up equivalent funds that could be applied towards the Potter/Pleasant Plains intersection project). The timeline for getting a determination range from mid-January to March 2022 (based on Ifthe Town were to free up $1.6 million to be applied towards the Potter/Pleasants Plains project, the Town's estimated cost share would  estimates received by the Town).  be $481,758.21.  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    In November 2021, Town staff discussed with Union County the County's request that the Town redesign part of the utility portion of the intersection This would cost an estimated $9,000 for additional cost to do this redesign, result in an estimated $145,570 in cost savings for the Town in construction costs, and an estimated $21,250 increase that the County would ultimately be obligated to pay the' Town under the The Town would need to verify that this redesign would not affect grant portions oft the project, but initial indications are that it would The Town is waiting for confirmation from the County that it is agreeable to moving forward with the design. Staffwould suggest that the Town pay the additional design fee of $9,000 which would be more than offset from the estimated cost savings of$145,570 to the Town, with the County being responsible for any initial reimbursement cost to the Town (estimated at $21,250).  project design.  applicable interlocal agreement.  not.  Outstanding Items/issues:  Determination from the NC Office of State Budget and Management (OSBM) on whether the Town could use the $1.6 million in state funds allocated to reimbursement the Town towards the purchase of2725 Old Monroe Road (and thus free up equivalent funds that could potentially be applied towards the Potter/Pleasant Plains intersection project). The timeline for getting a determination range from mid-January to March 2022  (based on estimates received by the Town).  Notably, ifthe Town does not receive a favorable interpretation, one option would be to seek legislation, possibly in partnership with other impacted municipalities in the area, to allow the Town to use the $1.6 1.) As indicated above, the County has requested utility design changes and the Town is waiting on confirmation from the County that the arrangement proposed above is acceptable (i.e. the Town paying the additional design fee of $9,000, the Town receives the $145,570 in estimated cost savings, and the County's estimated reimbursement obligation increases by $21,250). Ifthe County agrees, then the Town Council would subsequently need to approve 2.)1 Due to the passage of time, several items have expired. If/when the Council decides to move forward, it will likely take several  million in funds towards the intersection project. Updating plans and permits. There are two factors in this:  this approach.  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    months ofwork to get the project let. The longer the passage oftime, the greater the likelihood that this timeframe increases as plans and NCDOT supplemental agreement - This will likely take at least a couple months from Council authorizing approval to having a final executed CEI Selection - This could be done concurrently with the permit updating and letting process and is not projected to cause any further delays.  costs get more out ofd date.  supplemental agreement.  MEMO  To: Town Council Date: 6/23/21  From: Alex Sewell, Town Manager RFERENCE/BACKGROUND  RE: U-5112- Potter-Pleasant Plains Intersection PROVIDED FOR  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    Purpose: This memorandum' s purpose is to provide background, an update on the  above referenced project, and seek Council direction.  Background:  The Town has been working in partnership with NCDOT and Union County to expedite needed improvements to the intersection of Potter Road and Pleasant Plains Road using a mix oflocal and State/Federal funds. InJ January 2014, the Town entered into two separate agreements, one with The 2014 Union County agreement called for the County to be The 2014 NCDOT agreement is enclosed below. This was agreed to be a locally administered project with NCDOT providing oversight.  NCDOT and the other with Union County.  responsible for certain sewer improvements. Here is the agreement's funding table:  Federal Funds Amount $825,000 $1,600,000 $400,000 $2,825,000 $2,425,000  Funding Source HSIP (Federal) STP-DA (Federal) STP-DA (Local) Total NCDOT Agreement Total Reimbursed  Notes Reimbursable Reimbursable Non-Reimbursable  This agreement specifies that activities eligible for  reimbursement include: ROW acquisition; Utility relocation; and Construction.  Please note that the above list does not include design costs, which is to be covered 100% by the Town (except for some utility work agreed to by the County) and is in addition to the Also note that the Town agreed to assume all maintenance responsibilities for the safety improvements to Potters Road The agreement contemplated the project being completed by 12/31/2016. DOT had advised a supplemental agreement will  $400,000 Town commitment.  (SR 1357).  be needed here to move forward.  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    The Town has completed engineering/design and ROW acquisition. In 2020, NCDOT indicated it was suspending the construction phase for the project due to declining revenues because of the pandemic. In March 2021, the Town received an updated cost estimate showing a significant gap between the cost of the project and the original reimbursement allowance to the Town from NCDOT and Union County. NCDOT! had indicated that the Town is responsible for any budget funding shortfalls above the amounts set in the 2014 agreement unless the Town can secure funds through the Charlotte Regional Transportation Planning Over the course of several Council meetings in April and May 2021, the Town identified a threefold approach to address the identified budget gap for First, to pursue budget shortfall funding through the Charlotte Regional Transportation Planning Organization (CRTPO). Second, to coordinate with state elected officials in an effort to secure Third, to request NCDOT conduct repairs at the intersection to address the immediate need for maintenance until construction begins.  Private utilities have been largely relocated.  Organization (CRTPO) or by other means.  this project:  additional project funds from the State; and  Update:  On 4/30/21, the Town submitted a formal application to CRTPO for On 6/17/21, the Town was informed that CRTPO had approved budget shortfall funding in the amount of $2,197,600 which requires an additional Mayor Dunn has engaged with our local state elected officials. Rep. Arp reports that potential funding availability for this project will be unknown until the August/September timeframe due to the State's calendar. After the Town requested the NCDOT conduct intersection repairs to address the immediate maintenance needs until construction potentially begins, NCDOT further investigated and determined that the entire intersection needs extensive resurfacing (estimated at $300,000).  additional budget shortfall funding.  20% local (Town) match ofs $549,400.  NCDOT does not want to spend $300,000 in public monies ifit will be ripped out in the next year as part ofanticipated construction. As a result, NCDOT has indicated that it will provide those resurfacing funds to help with project funding but plans to patch the intersection in the meantime. These funds will only be available ifnon-betterment  Landscape design has not been initiated yet. Adding landscaping was not part of the original budget (just sodding  the area) butt this isi included int the construction budget (design + actual landscaping costs).  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    costs exceed cost allowances including both through grant and local Please see an estimated breakdown ofexpenditures to date, estimated future expenses, and funding in the table below. Unless otherwise noted, please note that these numbers are preliminary estimates. They can and likely will change for a variety of reasons as we move closer to and into actual  match funds.  construction.  POTTER ROAD/ PLEASANT PLAINS SUMMARY ORIGINAL PROJECT FUNDING  6/23/2021  NON-FEDERAL NON- FROM" TOWN $400,000  FUND SOURCE HSIP STP-DA Total  REIMBURSEME MATCHS NTRATE 100% 80%  FEDERAL RATE R 20%  FEDERAL FUNDS AMOUNT $825,000 $1,600,000 $2,425,000  COSTS TO DATE TOWN OF STALLINGS COSTS  COST (Paid Unless Noted Otherwise) $1,183,091.59 $11,459.38 $436,612.81 $131,549.22 $760.00 $4,800.00 $491,436.67 $68,589.46  ITEM 1 2 3 4 5 6 7 8  DESCRIPTION RIGHT OF WAYA ACQUISITION LEGAL KIMLEY HORN- - DESIGN SERVICES THC- ROW ACQUISTION WORK SURVEY SEPTIC: SERVICES DUKE ENERGY UTILITY RELOCATION (INCURRED)** DOT OVERSIGHT (INCURRED) TOTAL COSTS PAID & INCURRED () DESIGN TOTAL COSTS PAID (-) DESIGN TOTAL COSTS PAID &1 INCURRED TO DATE **Paid $228,006.74 oft this amount already.  TOTAL TO DATE  $1,891,686.32 $1,559,666.93 $2,328,299.13  TOTAL  CONSTRUCTION COSTS MOVING FORWARD  ITEM 1 2 3 4 5  DESCRIPTION  COST $3,856,439.25 $964,109.81 $771,287.85 $158,165.11 $50,000.00  TOTALI ESTIMATED COSTSTO COMPLETE  CONSTRUCTION ESTIMATE CONTINGENCY + ESCALATION (25%) CEI and NCDOT OVERSITE (20%) STATE SAP COMPUTER COSTS (2.6%) ENGINEER OF RECORD COORD., PLAN UPDATE, BID: SUPPORT, ETC.  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stalingsncorg    DUKE ENERGY UTILITY RELOCATION (INCURRED)** LANDSCAPING LANDSCAPING DESIGN  6 7 8  $491,436.67 $50,000.00 $5,000.00  TOTALI ESTIMATED CONSTRUCTION COSTS1 TO **Paid $228,006.74 oft this amount already.  COMPLETE  $6,346,438.70  Estimated Construction Betterments ITEM  DESCRIPTION Water & Sewer Upgrades Landscaping + Design Mast Arms Upgrade TOTALI ESTIMATED BETTERMENTS TOTAL ESTIMATED CONSTRUCTION COSTI MINUS BETTERMENTS  COST $1,360,155.00 $55,000.00 $100,000.00 $1,515,155.00 $4,831,283.70  1 2 3  ESTIMATED FUNDING. AND POTENTIAL OUT OF POCKET COSTS  REMAINING FUNDING BALANCE  DESCRIPTION  FUNDING $2,425,000.00 ($1,215,505.05) ($68,589.46)  ORIGINAL FUNDING  TOTAL FEDERAL FUNDS LESS REIMBURSEMENT FROMI NCDOT LESS NCDOT OVERSIGHT COSTS INCURRED REMAINING ORIGINAL FEDERAL FUNDS  AVAILABLE  $1,140,905.49  Administration, Grant Funding Support, ESTIMATED COSTS INCURRED/TO COUNTYSEWER REIMBURSEMENT (COSTS POTENTIAL OUT OF POCKET COSTS BEFORE ADDITIONAL FUNDS* CRTPO Budget Shortfall Funds Awarded Potential Estimated Out of Pocket* Additional NCDOT Fundst to Be Spent Last on Non- Betterment Costs Above Estimates *Based on estimates. Actual costs could be higher orl lower.  ADDITIONAL COSTS Legal, Misc.  ($10,000.00) ($6,346,438.70)  COMPLETE  UNION CO FUNDING INCLUDED. ABOVE)  $936,175.00 ($4,279,358.21) $2,197,600 ($2.081.758.21) $300,000.00  NEW FUNDING Total  Per the above chart, the Town's estimated additional out of pocket cost for this project is $2,081,758.21 including a combined 25% contingency and  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    escalation factor.3 In contrast, the original 2014 agreement with NCDOT appears to contemplate a local commitment of $400,000 (not including Any actual costs above estimated/funded amounts would be the Town's responsibility except for the $300,000 provided by NCDOT for costs beyond Notably, the Town Council could choose not to fund enhanced landscaping and just have grass around the intersection. This deletion is estimated to Tomove forward, the Town must enter into a supplemental agreement with NCDOT which is enclosed below. Several notable items from this  design).  what is estimated/funded for non-betterment work.  save about $55,000.  supplemental agreement include:  NCDOT will assume all maintenance responsibilities for the safety improvements, with the Town assuming all maintenance responsibilities for the new pedestrian improvements to the intersection. (This was all the Town'sresponsibility in the original Once the Town executes the agreement, NCDOT estimates it could take about 2 months for the agreement to receive the required formal The original agreement with NCDOT would otherwise remain valid. Please note that staffhave worked diligently with representatives from CRTPO and NCDOT and done everything in our power to verify what parts oft the project are eligible for reimbursement. Unfortunately, not all items As discussed at the 6/14/21 Council meeting, the American Rescue Plan (ARP) expenditure rules are not out yet finalized and there are a lot of unknowns. However, the N.C. League ofMunicipalities has advised that the current interim guidance specifically excludes transportation infrastructure  agreement).  The Town shall complete the project by 5/1/23.  approvals from Raleigh.  are eligible for reimbursement.  projects from eligibility.  Next Steps:  Ifthe Town seeks to move forward, then the Town Council would need to approve the supplemental agreement and then send an executed agreement to NCDOT. NCDOT indicates it could take 2 months to get the agreement formally approved through its appropriate channels. In the meantime, there are still some loose ends the Town is tying up on our end which may require some cost commitments (CEI selection, finalizing environmental documents since it expired due to the delay, 3AI larger contingency and escalation factor is recommended due to current construction market conditions and  potential timeline.  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    etc.), but nothing that is anticipated to delay the project ifthe Council seeks to  move forward.  Ifthe Council wishes to move forward with getting ready for letting the project, it isr recommended that the Board authorize staffwith a budget of$50,000 to move forward. Ifthe Town moves forward with this and awards a contract, staff would very cautiously project that construction work would likely begin in Q1 of2022. However, there are numerous moving parts here SO please understand this is a  rough projection.  Options for Council's Consideration:  1.)Approve the NCDOT supplemental agreement, accept CRTPO funding, and direct staffto move forward towards letting the project with a budget of $50,000, and let the project with the understanding that the Town is responsible for covering budget funding shortfalls not covered by the  NCDOT and Union County agreements.  a. Pros  - Thei intersection improvement efforts could proceed. 11. Project will likely be done quicker than the other options. iii. Stafff field more calls with concerns regarding this intersection iv. Ifthe Town chose to not move forward with the project in the timeframe specified, the federal govemmentNCDOT could/would likely make the Town repay the funds already reimbursed to the Town for work done thus far (over $1.2 V. The Town would still be able to see what bid amounts are received before awarding a construction contract.  than any other singular issue in Town.  million plus NCDOT costs).  b. Cons  i. Potentially spending a significant amount ofthe Town's fund ii. Would potentially take away funds for Town operations, priorities, etc. and thus may potentially hinder future efforts. 111. Could be spending Town local funds when other further funding may be potentially available. Although, the Town could still pursue state fund simultaneously via our elected iv. Numbers are estimates sO the actual bids/construction cost could turn out to be higher (and again the Town would cover any additional costs above estimates and funding levels).  balance reserve funds on State roads.  officials.  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    2.)Approve the NCDOT supplemental agreement, accept CRTPO funding, direct staff to move forward towards letting the project with a budget of $50,000, but wait to see what funds (ifany) can be secured by our state elected officials prior to letting the project, and only consider moving  forward with letting once that is determined.  a. PROS  i. Continuing pursuit ofnon-local funds which, ifsuccessful, would free up significant Town funds for Town operations and ii. Still plan to move forward towards to address intersection  pursuit of priorities. issues.  b. CONS  1. In the meantime, construction costs could go up. The Town may need to update plans and documents depending on timeline ii. Further delay would likely be unpopular with some members of the public. In the meantime, the intersection would continue to iii. Need to still meet the deadline contemplated in the agreement.  (which would likely come with a cost).  function poorly.  3.)Donot move forward with the project.  a. PROS  The Town would not have to cover the estimated funding ii. Would potentially put the responsibility of fixing the state road . NCDOT has indicated that the federal government would likely request back funds received by the' Town thus far (approximately $1.216 million). NCDOT did not know ifthere would be any other penalties. IfCouncil wishes to pursue this ii. The Town would forego the benefit of project expenses ili. The intersection would continue to function poorly and there would be no anticipated timeframe/plan ofwhen/how it would iv. Would likely be controversial with members ofthe public and likely increase distrust/confidence in the Town with some. V. Could hinder our ability to get certain grants in the future.  shortfall.  intersection with the state (NCDOT).  b. CONS  option, staffwill research further. paid/incurred by the Town to date.  be fixed.  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    POLICE  MEMO  To: Town Council Via: Alex Sewell, Town Manager From: Dennis Franks, Chief fofPolier Date: January 5, 2022 RE: Incentive Program  Purpose: The purpose of this memo is to provide background on the need for aj police incentive plan, based on training, certification, and education. The SPD is requesting funding approval to implement this Background: The mission of the Stallings Police Department, "is to provide an exemplary level of service and protection to the residents and businesses." In an effort to retain and recruit officers who want to meet these expectations, iti is imperative that SPDI be competitive with surrounding agencies as we In 2019, Matthews Police Department conducted a study of 17 surrounding agencies to compare starting salaries and incentives offered to its employees.. The agencies included are from Mecklenburg, Union, Cabarrus, and Gaston County departments. Stallings PD ranked 6 out of1 17: for starting pay. Some ofthe  plan.  are all competing for the same candidates.  results oft this study showed the following:  15of1 17 departments offer incentives for being bilingual 13 of17 departments offer incentive for college degree 6of17 departments offer incentive for field training officers  10 of1 17 departments offer incentive for Intermediate or Advanced certificates from NCI Dept. of  Justice  Intermediate and Advanced Certificates are professional certificates awarded to police officers based on years ofexperience, education, and variety of police-based training programs that officers have completed. Currently, only four SPD officers hold Advanced Certificates and one with an Intermediate Since the outbreak of the COVID-19 pandemic, 4.4 million Americans have left their jobs. Due to the both the pandemic and social issues within policing, many officers have either retired or resigned from the profession. A: 2021 Police Executive Research Forum (aka PERF) survey showed that police retirements rose by 18% and police resignations rose by 45%. The Stallings Police Department has not  Certificate.  been immune tot this trend. Since the start of the pandemic the SPD has had:  12.5% of the department has retired and 29% have left the department o 12% left the profession completely and 17% left for other agencies  The same PERF survey also showed that, nationally, 7% ofall police positions are unfilled and when one looks at department with less than 50 sworn officers that percentage of unfilled vacancies rises to 9%.  Currently, Stallings Police Department has 12.5% ofi its positions are unfilled.  Town of Stallings Police Department - Telephone 704-821-0300 - Fax 704-821-6841 :    In September 2021, the SPD created a work group of officers from across all ranks to examine what can be done, internally, to create an environment that will help recruit and retain top quality police officers. The SPD utilized information gleaned from HR exit and stay interviews. The overarching theme ofthese interviews was monetary, not cultural. Most officers said that ift they were leaving or considering leaving, ity was due to other departments offering pay for various certifications and education. Based on the Matthews study and internal police department feedback, Iam recommending the following pay incentive  program be implemented for the Stallings Police Department:  Category of] Incentive  Amount of] Incentive 5% of officer's salary* 5% of officer's salary* $1200 $800 (plus $$ for associates) $500 (plus $$ for Associates and Bachelors) $1000 $2000 (plus $$ for Intermediate) $1500 $1000 $1500 $1500 $2000  Assignment as K9 Unit handler Assignment as Detective Associates Degree Bachelor's Degree Master's Degree Intermediate Certificate Advanced Certificate  Field' Training Officer (designated by PD) Special Response Team (designated by PD) Accident Reconstructionist (designated by PD) $1200 Bilingual (certified) Criminal Investigator Certification (certified through State ofNorth Carolina) Resident of Stallings  *Incentive already inj place as part of Town'sp pay plan  This incentive program would impact all sworn members from the rank of lieutenant and below. Its should ber noted that the two incentive categories designated with asterisks are already incorporated into the department's pay plan and are not factored into the costs of this program. Based on current staffing the incentive program would cost approximately $45,300, plus an additional $11,200 for the cost ofinsurance and retirement. Current total cost is estimated at $56,500. Due to lapsed salaries from unfilled positions this incentive program can be funded for the remainder ofFY 21-22., without budgetary impact. Implementation of ani incentive program fits within the Town's Training and Certification Policy, which states its intent ist to "reward employees to complete training, development, and certification programs that provide them with knowledge, skills and abilities that will enable the Town of Stallings to become more flexible and adaptable, improve client services, ensure that work is performed in a safe manner, and develop capacity to provide continuous services at a high level int the future." Italso fits within the parameters oft the Town' 's pay study under Management Recommendations in that it states,  Itisi important to put in place a program toi reward employees for attaining certifications. A specific base pay in-range increase is recommended, for certifications determined by the Town to be needed and desired and a lesser base pay in-range increase or lump sum recommended) for those that are voluntary but valuable. The Town Manager should develop a program to Inc conclusion, this incentive program will reward officers' professional accomplishments along with helping the police department to recruit highly skilled candidates. These areas that have been identified for incentives will also motivate officers to achieve a high level of proficiency, which in turn will create a highly skilled workforce. Having this skilled workforce will translate into a higher level ofs services being  accomplish these objectives.  Town of Stallings Police Department - Telephone 704-821-0300 - Fax 704-821-6841 :    delivered to our citizens and those who travel through Stallings. Ifirmly believe this incentive program will also increase our retention of our current employees and assist with the increase ofmorale. Requested Action: I respectfully request the Town Council to approve funding for this plan, for remainder of the fiscal year, using lapsed salaries. Please take note that approving funding using  lapsed salaries now will require ongoing funding for the next fiscal year.  Town of Stallings Police Department - Telephone 704-821-0300 - Fax704-821-6841 .    MEMO Stallings Town Council Alex Sewell, Town Manager Blair Mill Park Enhancements  To: Via: RE:  From: Ashley Platts, Parks & Recreation Director  Date: January: 10, 2021 Background/History:  The Town identified top community needs within the current parks system through surveys and the master plan process. Town Council directed staff to develop cost estimates for desired enhancements' to include a playgroundi for ages on the Fairhaven side of Blair Mill Park as part of thei first phase of enhancements. This playgroundi is to be situated as to not disturb the current flow of the popular disc Other enhancements include contracting out regular landscaping maintenance, installing river rocki in the traffici islands, and scheduled turf remediation in areas where there has been soil erosion due to  golf course already on site.  rain/flood events. Playground Installation:  Total project costs are estimated at $75k, $25k over the budget approved amount of $50k for enhancements. This is largely due to grading work that must be done to level the area to bringi iti into ADA compliance (less than 3% grade change) while ensuring proper water runoff prior to installing the playground equipment. Staff received quotes for this work with the costs totaling $19,488.71. This is an unbudgeted cost, that should be covered by savings withing the department, but may require al budget amendment at al later date. Staff is requesting Council permission to proceed with this work Staff previously received quotes for playground equipment, that expired December 15th. Using the informal bid process, staff will acquire new bids for the project and select the playground contractor best suited for the project to remain within the $75k project budget. This projection includes a: 10%  through the locally approved contractor.  contingency. Requested Actions:  1) Direct staff to proceed with required grading work  2) Direct staff to select playground contractor using the informal bid process  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    MEMO Mayor and Council From: Alex Sewell, Town Manager  To: Date: 1/5/22 RE:  UNC School of Government - DFI Proposal to Provide Phase 1 Downtown District  Feasibility Assessment Services  Purpose: In accordance with the Town Council priority of creating a downtown and the Town's Downtown Action Plan, this memorandum provides background and context on DFI's proposal to assist the Town with downtown development and suggests holding a special virtual meeting  to discuss the proposal with DFI representatives. What is Development Finance Institute?  Development Finance Initiative ("DFI") was established in 2011 by the UNC-Chapel Hill School of Government to assist communities in North Carolina with achieving their DFI partners with communities to attract private investment for transformative projects by providing specialized finance and real estate development expertise. DFI has been engaged in over 100 projects of varying size and scope in over 70 communities throughout North Carolina. One notable recent area project was a  community economic development goals.  partnership with Kannapolis on their downtown.  Background:  ATown Council top priority is downtown creation.  During the Council's 2021 Annual Retreat, downtown expert panelists expressed concerns as to whether the Town's vision aligns with market realities and whether the Town's implementation strategy was 'underfunded" in resource commitment, expertise capacity for various development efforts including public-private partnership creation, To address the concerns raised by the downtown expert panel, the Town's downtown action plan calls for the Town to consider partnering with the DFI for expert guidance and support on proactively spurring positive downtown development. In April and May 2021, the Town Council discussed DFI's initial proposal to provide phase 1 downtown district feasibility assessment services. The Town's FY 21-22 Budget includes $75,000 for a potential contract with DFIfor phase 1 downtown district feasibility services. DFI has submitted a proposal to start assisting the Town with downtown development.  and site control.  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    DFI Proposal: Enclosed is DFI's proposal to Provide Phase 1 Downtown District Feasibility  Assessment Services. Notable aspects include:  The flat fee cost for the services is $74,400, which can be paid in 2 installments of $37,200 each. The total price has gone up $3,900 since last year. The estimated timeline for completion is 6 months. Expressed next steps would be for a subsequent phase 2 agreement where DFI would provide additional pre-development services for the site(s) over which the Town gains site control. Phase 2 services would involve an additional refined financial feasibility analysis and the identification of a private development partner. Phase 2 services would require a separate contract and fee (although this fee could possibly be covered in all or  part by whatever developer was selected).  Recommended Next Steps: To allow everyone to fully understand the proposal, Staff would suggest holding a special virtual Council meeting with DFirepresentatives to discuss the proposal. DFIn representatives would be available for a virtual meeting at either 5:00 or 5:30  PM prior to a regular Town Council meeting on the following dates:  January 24, 2022 February 14, 2022 February 28, 2022  Town of Stallings - Telephone 704-821-8557 - Fax 704-821-6841 - www.stallingsncorg    SCHOOL OFG GOVERNMENT  UNC Development Finance Initiative  MEMORANDUM To:  Alex Sewell, Town Manager, Town of Stallings  From: Marcia Perritt, Associate Director, Development Finance Initiative  Date: December 6, 2021  Re:  Proposal to Provide Phase1 Downtown District Feasibility Assessment Services  UNC-Chapel Hill Development Finance Initiative  The UNC Chapel Hill School of Government (SOG) established the Development Finance Initiative (DFI) in 2011 to assist communities in North Carolina and beyond with achieving their community economic development goals. The SOG is the largest university-based local governmentraining, advisory, andresearchorganizationintheUnited States. DFI partners with communities to attract private investment fortransformative projects by providing specialized  finance and real estate development expertise. Request for Technical Assistance  The Town of Stallings requested technical assistance from DFI in March 2021 with evaluating the feasibility of establishing a downtown district and attracting private investment to assist in realizing this vision. The largely new construction, mixed-use downtown district is a top community economic development priority fort the Town. Severalfactors, including historica and projected populationg growth, indicatei that the Town of Stallings may be well-poised to support a new downtown district. There are significant transportation investments underway, such as the widening of Old Monroe Road and the expansion of the LYNX Silver Light Rail to better connect Stallings to the Charlotte metro region. Additionally, Atrium Health recently broke  ground on a new150,000 square foot hospital within the town limits.  Ina anticipation of this project, the Town of Stallings has made significant public investments in the proposed downtown district area, including an award-winning central park, new Town Hall and public works facility, and streetscape enhancements. The Town also developed a design- driven small area plan that outlines a conceptual vision for a mixed-use downtown, created a downtownsteering committee, and began land acquisition outreachto private property owners within the proposed downtown district. The Town has a portion oft the proposed district under  site control andi is considering acquiring additional parcels.    SCHOOL OFG GOVERNMENT  UNC Development Finance Initiative  While that visioning work is helpfuli in gaining consensus among key stakeholders for a general development concept, to make the concept become a reality, it should be tested through feasibility analysis and brought to the market-that is, the concept should be proven in a way that would satisfy developers, investors, and lenders that the vision is feasible given current market and development conditions. DFI proposes to conduct secssyltesabilyamalis and create a market-feasible program of development, while regularly seeking feedback and engagement with Stallings officials. Once a market-feasible development program has been endorsed by Town Council, DFI willi identify development partners withi thee experience andt track record to make the vision a reality within the context oft the actual market in Stallings.  Scope of Services  The following Scope of Services outlines the activities that DFI would conduct to support the Town of Stallings in evaluating the feasibility ofi its downtown district vision andi formulating an implementation strategy to execute this vision. DFI proposes conducting this work in phases. The first phase, described below, would focus on 1) understanding current market and development conditions and 2) advising the Town on additional site control of privately-owned parcels that present key development opportunities within the proposed downtown district,  herein referred to ast the "Project Area".  Phase 1: Publicl Interests, Market Analysis, & Acquisition. Strategy  1. Conduct a community scan, which is an analysis of market-relevant demographic and socioeconomic data, as well as a review of current and historic plans, visioning documents, studies, research, development proposals, conceptual renderings, notes from public input 2. Collect and analyze relevant data for a parcel analysis to understand current market conditions (sales trends, vacancy, land use, common ownership, and underutilization, 3. Conduct small group community engagement activities (approximately 8 to: 10 one-on-one telephone conversations) as it relates to stakeholder priorities and input for downtown  sessions, and other materials relevant to the Project Area;  pending available data) fori the Project Area;  development;    SCHOOL OFGOVERNMENT  UNC Development Finance Initiative  +. Conduct a market analysis to assess the supply and demand for different uses within the Project Areai including retail, multfamilyresidential, office, and hospitality; Establish guiding public interests for the Project Area in collaboration with the Town of 6. Conduct al high-level site analysis, examining topography, hydrology, infrastructure, etc. to gain a general understanding of development opportunities and constraints within the  Stallings;  Project Area;  7. Identify opportunities for additional site control within the Project Area;  8. Provide high-level advising on financing and structuring public participation in the Project Area, ifn necessary, including use of development finance tools (federal and state tax credits, 9. Make recommendations related to acquisition of key parcels and advise the Town on next This Scope of Services does not include services that require a licensed broker or licensed attorney to perform. In addition, the scope does not include tasks associated with site planning expertise from architects ore engineers, nor does iti include: site preparatione expenses suchasland survey, soil samples, and environmental testing (if such services are required, DFIwill advise the Town of Stallings to obtain such services from third parties). The fee accounts for efficiencies  district designations, etc.); and  steps.  gained from utilizing virtual meeting tools rather thani in-person meetings.  Deliverables  Deliverables include presentations, summaries, and other documentation intended by DFlto! be  delivered tothe Town regarding the above Scope of Services.  Timeline  The timeline for the above Scope of Services is estimated to be 61 months.    SCHOOL OFG GOVERNMENT  UNC Development Finance Initiative  Fee  The flat fee for the above Scope of Services is $74,400. This flat fee is payable over two  installments of $37,200 each.  Potential for Phase 2: Attract Private Development Partner  Pending the outcome of this analysis and the Town's interest, DFI is able to provide additional pre-development servicest forthe: site(s) overwhichthe Town gains site control. Phase 2 services would involve additional refined financial feasibility analysis and the identification of a private development partner. Phase 2 services would require a separate contract and fee.    MEMO  To: Via: Date: 1-5-2022 RE:  Mayor Dunn and Stallings Town Council Alex Sewell, Town Manager From: Marsha Gross, Finance Officer  LGC Response to the Auditor's Findings, Recommendations, and Fiscal Matters  Ata a regularly scheduled town council meeting held on November 22, 2021, our financial statement auditor, Emily Mills from Potter & Company, presented to Council their Auditor's Findings, Recommendations, and Fiscal Matters. During that report, 3 significant deficiencies were cited. The first of the deficiencies related to dual signatures on Town checks where 2of the items they tested did not have a second signature and cleared the bank account. These expenditures did have proper approval to pay and followed the Town's purchase order process but during distribution failed to have the second signature on the actual check. The second item related to 401(k) withholding not matching the withholding amount on the employees' paperwork in their personnel file. The last items related to an unrecorded road addition in the Town's fixed asset system which was discovered during the Town's Powell Bill reporting. The Town's staff discussed these findings and have implemented additional internal According to 20 NCAC03.0508, the Town is required to formally draft a response to the Auditor's Findings, Recommendations and Fiscal Matters report on town letterhead and send to the NCLGC. This letter is to address each significant deficiency, material weakness and other audit findings and provide a plan to address of these concerns. The Town staff has discussed as noted above and drafted such correspondence which is due to the LGC within 60 days of the auditor's presentation to the governing body (Council) which would be. January 21, 2022. While the guidelines require that a majority of the governing body members must sign the correspondence pursuant to 20 NCAC 03.0508, LGC staff recommends that all governing body members, the unit manager, and the unit finance officer sign the response. Attached is the draft response for approval and signature as well as guidance from LGC.  controls to avoid them occurring in the future.  Thank you for your consideration.  Town of Stallings . Telephone 704-821-8557 . Fax 704-821-6841 . wwwstallingsncorg    Townof  Stallings  315 Stallings Road - Stallings, North Carolina 28104  Date: January 4, 2022  To: Sharon Edmundson, Secretary oft the Local Government Commission  Re: Response to the Independent Auditor's Findings, Recommendations, and Fiscal Matters  Dear Ms. Edmundson:  We have carefully reviewed the audit findings and Financial Performance Indicators of Concern ("FPIC")presented to the Town of Stallings Mayor and Town Council by Emily Mills of Potter & Company on November 22, 2021. Our responses addressing each item follows:  1. The Schedule of Findings and Responses included as a significant deficiency that the controls over cash disbursements are not operating as intended. Of25 checks examined, two of these checks cleared the bank with one signature, bypassing the dual signature requirement. It was recommended that the Town: should implement internal control procedures that will ensure that each check has dual signatures prior to payment. The Town has stressed thei importance of the dual signature procedure and the placement of dual signature on all checks with finance staff and with those who have signature authority on the Town's checking accounts. An additional procedure has been added whichi is final review for dual signatures by both the accounts payable clerk and one oft the signers oft the check batch before the checks are distributed or mailed. This additional verification was implemented 2. The Schedule of Findings and Responses included as a significant deficiency that the controls over payroll have been designed but not properly implemented. Of25 paychecks examined, two occurrences were noted ofe employees' 401(k) withholdings not setup at the requested percentage per the enrollment forms. It was recommended that the Town: should strengthen internal controls over the payroll system. The Town has stressed the importance of internal control procedures regarding employee payroll with both the Human Resources Director andi the Police Administrative Services Manager who input and process payrolls for the Town. As part of the new payroll internal control procedures, a comparison of the amount withheld and net amount for each employee will be made to a prior payroll before approving each payroll run. In addition, 2 employees will be randomly picked per month comparing the withholding percent ini the system with the withholding percent in the employee's personnel file to ensure the correct amount is being withheld. These additional procedures were implemented  on November 1, 2021.  December 1, 2021.  Telephone 704-821-8557 - Fax 704-821-6841 . www.stallingsncorg    3. The Schedule of Findings and Responses included as a significant deficiency that there was an adjustment recorded to correct beginning net position because ofa correction to record roads as capital assets in the amount of $53,114. It was recommended that the Town implement procedures to ensure that all balances are recorded andi included in the financial statements. The Town stressed the importance of accurate reporting for both outside agencies and financial reporting with Town Engineer and Finance Officer. The departments discussed implementing an additional procedure that would identify any road additions and annexations. The Town Finance Officer will review council meeting minutes and future Powell Bill reports to ensure that additions to Town roadway systems are added to fixed assets according to our capitalization policy. This procedure was implemented on  November 1, 2021.  Questions regarding this response letter may be addressed to Alex Sewell, Town Manager, 704-  821-0314 or to Marsha Gross, Finance Officer, 704-821-0311.  Respectiulysubmtte.,  Alex Sewell Town Manager  Wyatt Dunn Mayor  Marsha Gross Finance Officer  David Scholl Mayor Pro Tempore Heather Grooms Council Member Steven Ayers Council Member Brad Richardson Council Member Graham Hall Council Member Taylor-Rae Drake Council Member  Telephone 704-821-8557 - Fax 704-821-6841 . www.stallingsncorg    Identifying Financial Concerns Response by the Governing Body  Under 20 NCAC 03.0508, ifa Response to the Auditor's Findings, Recommendations, and Fiscal Matters" is required, it must:  Be signed by a majority of the members of the governing body Be submitted to the LGC within 60 days of the auditor's presentation  Address each significant deficiency, material weakness and other audit finding Provide a plan to address each Financial Performance Indicator of Concern  **Use the link above to read the full text of the rule in North Carolina Administrative Code and for the  requirements of the governing body'sresponse"*  SATTAASUMROFNOATN: CAROLINA DALE R. FOLWELL, CPA TALRRAKoA  NORTH CAROLINA DEPARTMENT OF STATE TREASURER  State and Local Government  Finance Division    201 NCAC 03. .0508  RESPONSE TO THE INDEPENDENT AUDITOR'S FINDINGS,  RECOMMENDATIONS, ANDI FISCALMATTERS  (a) Ifthe governing body ofa government unit is notified by its independent auditor that the audited financial statements presented to the governing body included one or more significant deficiencies, material weaknesses, other findings or ift the auditor determined that Financial Performance Indicators of Concern were identified based on information presented in the audited financial statements, then the governing body shall develop a "Response to the Auditor's Findings, Recommendations, and Fiscal Matters" ("Response"), pursuant to this Rule, signed by a majority of the members of the governing body. The governing body shall submit the Response to the Secretary (b) The Response shall address each significant deficiency, material weakness and other audit finding presented to the governing body and shall provide a plan to address each Financial Performance Indicator of Concer reported to  within 60 days of the auditor's presentation.  the governing! body. Thel Response shall include the following:  (1) Audit Findings  (A) A written description of the procedure, process, or action plan developed by the goverment unit to address each finding, including all material weaknesses and significant deficiencies, and any other issues related to the internal controls or fiscal health of the government unit as disclosed in the management letter, the Single Audit or Yellow Book reports, or any other communications from the auditor regarding internal controls as required by current auditing standards set by the Accounting Standards Board (B) The description shall provide specific and detailed steps with measurable results that allow the governing body to conclude that the procedure, process, or action plan as implemented and followed by the staff of the government unit, will address the specific audit finding. The description may include such information as the date for implementation, position titles responsible for implementation, positions performing the procedures or processes, frequency of performance, and other matters necessary to (A) A written description of the procedure, process, or action plan developed by the government unit to address each Financial Performance Indicator of Concern. (B) The description shall provide specific and detailed steps with measurable results that allow the governing body to conclude that it will address each specific Financial Performance Indicator of Concern. The description may include such information as the time period required for improvement, any governing body action required for implementation, the steps to increase revenue or reduce expenses, the frequency of performance evaluation, and other matters necessary to evaluate the success ofthe plan.  ori its successors.  evaluate the success oft the procedure or process.  (2) Financial Performancel Indicators of Concern  (c) Ifthe governing body disagrees with an audit finding, it shall describe in detail its disagreement and explain the  factors that support this determination ini itsl Response. History Note: Authority G.S. 159-30); 159-34;  Ef November 1, 2020.    As suggested format follows for response to the LGC regarding Financial Performance Indicators of Concern, significant deficiencies, or material weaknesses, or other findings identified by the independent: auditor. The response must bej providedwithin 60days ofthe awdiorsprasematismofie) audited financial statementsi to thel Board. Ifdebt approval byt thel LGCisrequired, the findings, FPICS, and unit'sresponse willl be presented to thel LGC for consideration: in approving the debt. Responses Please refer to North Carolina Administrative Code 20 NCAC 03 .0502 regarding the auditor's presentation and 20NCAC03.0508 regardingrequirements oft the responseto thel LGC.  using Adobe PDF files should be: submitted: at] FPICI Response.  UnitLetterhead  Date: To: Re:  Date of Response  Sharon Edmundson, Secretary ofthel Local Government Commission  Responset to the Independent Auditor'sl Findings, Recommendations, and Fiscal Matters  DearMs. Edmundson:  Wel have carefully reviewed the audit findings and) Financial Performance Indicators ofConcern ("FPIC") presentedt to the) Name ofGoverning) Board by! Individual's) Name of Audit) Firm on date of presentation.  Ourresponse addressing each item follows:  1. Replace this numberedlistwith your specific response to each FPIC; see followingpagefor  suggestions: and guidance.  2. 3.  Questions regarding this responsel letter may be addressedi to Name UnitHead, phonenumber or to Name,  Finance Officer, phone number. Respectilysubmited,  Signatures of members ofthe governing body.Ar majorityofthe: governing body members arei requiredto sign the response pursuant to 201 NCAC03. .0508, but LGC staff recommends that all governing body  members,theunit manager, andt the unitf financeofficer sign the response.    Suggestions foranadequatei response:  1. Forreferencestorelevantsections: ofthe AdmistmieCae-miompee guidanceonresponses to the LGC, please seel Financial Performance Indicators and Responses to thel LGC. 2. Provide a response for each FPIC identifiedby ther red shading ont the report. Thei responses should identify the concern: and be specific regardingt the: action that has been taken by the unit and the results oft this actionand any action willl bet takeni including the expecteds schedule and anticipated results. Any relatedboardresolutions or other documentation; providing: additional details oft the unit's response may be provided. For additional information on responses, see FPIC Sample 3. The objectives ofthe response are to provide sufficienti information()that: the likelihood that the action ifs casillympemsmdyvi. resolve the FPIC can be evaluated and(2) thatt the auditor duringthenextauditoflhefinamcialisuatementscanevalutewwhelertheactionindicatedwastaken 4. Thesuccessfllresponse willidentifyeachF FPICidentifiedbythaudiorprovideawell-considerud response to that specific item; and represent the commitment ofthe board and management to the 5. Alloncemsrgaminglenangofapadife-CAaulhachmadhisadwithtieaudar  Responses and Resources.  and the results ofthea action.  implementation ofthe actions described. prior toj presentation to thel board.    Telephone 704-821-8557 - Fax 704-821-6841 . www.stallingsncorg    Town of  Stallings  North Carolina  FIVE-YEAR FINANCIAL PLAN  FY2022 to FY2026    Town of Stallings Five Year Financial Plan  The Town of Stallings has undergone a number of changes during FY2021 which included inordinate growth and development, tax revaluation and additional planning for thet future downtown area and greenway. Council passed the first Five Year Financial Plani in FY2021 to evaluate the future revenue and expense: streams as well as capital improvements needs while still being able to sustain the services the Town provides. The Five-Year Plan enables the Town to project the normal cost of doing business and identify excess and/or deficits in cash based on our forecast. The basis for the analysis is historical revenue and expense trends for the past five years, which will provide information to make assumptions regarding future spending, and the Town's Capital Improvement Plan. This is a tool which will be updated annually and used in thet future for evaluating possible capital project needs and funding  strategies to accomplish the Town's goals.  2/Page    Town of Stallings Funds  The Town of Stallings uses funds to ensure and reflect compliance with finance related legal requirements, such as General Statutes ort the Town's budget ordinance. They are broken down into  three categories:  Governmental funds account for the governmental activities and services performed by the Proprietary or Enterprise Funds account for the business-type activities whichi include sewer  Town  Capital Project Funds account forl larger capital projects  and storm water services  General Fund Long Term Planning  The General Fundi is used to account for the revenues and expenditures necessary to provide basic governmental services for the Town. The principal sources of revenues are property taxes, sales and use taxes, beer and wine taxes, Powell Bill allocations, and utility taxes. Other revenue sources are fees charged for Town services for zoning, development, parki rentals and transportation fees. Expenditures are broken down into the various departmentswhich. are general government, public safety, engineering and transportation, public works, economic development, environmental, and park and The General Fund has consistently remained in sound financial condition from year to year due to The General Fund has at fund balance of $11,420,129 as of FYE 2021 with an unassigned balance of $6,424,313. The Town also maintains a minimum fund balance of 30% of the subsequent year's expenditures in years after 2015 through 2020 which was changed to 20% ofs subsequent year's  recreation.  /  effective management of the sources and uses of the Town's funds.  expenditures during FYE 2021.  Below is a summary of past and recent year-end fund balance reserves:  General Fund Balance Non-spendable Prepaids Restricted Stabilization by State Statute Streets Powell Bill Drug! Forfeiture Committed Capital Project Fund Parks and Recreation Chestnut Lane Roundabout Assigned Designated for subsequent year's expenditures Minimum fund balance requirement Unassigned Unassigned Total General Fund 3/Page  2017 $ 667,933 601,599 313,445 304,803  2018  2019 462,389 239,450 291,514 25,545 350,000  2020 401,137 53,262 1,193,280  2021 475,157 568,898 46,008 960,273 426,858 747,982  153,094 126,493 350,000  330,043 330,043 374,474 374,474 1,000,000 1,550,000 2,016,800 2,091,800 2,249,400 2,478,150 2,654,040 2,189,160 1,770,640 5,216,484 3,355,658 3,270,119 4,138,319 6,424,313 $10,082,108 $ 8,945,037 $ 9,392,817 $10,732,946 $ 11,420,129    Sources of General Funds  As previously noted, thel largest source of revenue is the Town's ad valorem tax which represents a minimum of 50% each year oft the Town's revenue. Exhibit 1 displays the revenue breakdown for the  Towni for the past five years.  Exhibit1 FY2017 FY2018 FY2019 2.32% 2.88% 3.22% 7.05% -0.78% 1.47% 13.55% 4.87% 5.84% $ $ $ $  Adjusted FY2022* 15.86%  Unaudited Budget FY2021 1.92%  Revenue! Source AdValorum YOY Change Motor Vehicle YoY Change Sales Tax YOY Change UtilityF Franchise Tax OtherFranchise' Tax Beera and Wine Tax Vehicle Rental Zoning Fees Development. Agreement Fees $ TIAF Revenue Public Safety Fee Nuisance. Abatement/Civil Citati $ Business Licenses Feesi inl Lieu of Parkl Land Transportation Contributions. $ Powell Bill Solid Waste disposal tax Grant Income/Forfieture Miscellaneous Investment Interest Total Revenue YOY9 %1 Increase/Decrease) Adjust Annual Revenue by removing Transportation Contriubtuions and Grant Income/Forfieture Yorkinceae/Decease)  FY2020 1.48% 0.65% 8.88% -15.69% 8.42% 16.65% 0.00% $ $ 7,593 $ 7,449 $ 7,500 $ 2,500 $ 20,000 3,182 $ 3,100  $ 3,404,816 $ 3,502,958 $ 3,615,911 $ 3,669,430 $ 3,739,779 $4,332,900 405,608 $ 402,448 $ 408,348 $ 411,004 $ 447,485 $ 377,260 $ 1,134,617 $ 1,189,871 $ 1,259,345 $ 1,365,392 $ 1,592,773 $1,592,773 $ 808,770 $ 820,997 $ 832,275 $ 812,897 $ 799,348 $ 778,000 $ 70,119 $ 68,417 $ 69,574 $ 70,654 $ 69,686 $ 70,000 $ 62,855 $ 78,807 $ 87,033 $ 77,853 $ 57,220 $ 65,000  $ 42,555 $ 38,287 $ 23,004 $  $ $ $ $  $ 50,000 $ 18,750 $ $ 113,200 $ 146,800 $  $  $ 2,052 $ 2,473 $ 5,786 $  5,079 $  $  $ 60,400 $ 56,198 $ 2,400 $ 1,684,247 $ 1,711,356 $  $ 106,780 $  $ 44,431 $ >  $ 52,385 $  $ 459,214 $ 399,228 $ 399,455 $ 402,567 $ 388,692 $ 388,700 $ 10,407 $ 10,494 $ 11,963 $ 12,431 $ 12,488 $ 11,800 $ 176,459 $ 25,660 $ 4,122 $ 37,709 $ 277,083 $ 25,000 $ 41,475 $ 41,312 $ 20,138 $ 58,494 $ 15,752 $ 23,100 $ 6,768,315 $ 6,679,702 $ 7,116,783 $ 8,971,951 $ 9,243,305 $ 7,706,133  $ 35,226 $ 90,526 $ 160,338 $ 122,514 $ $ 7,361 $ 8,224 $ 11,859 $  2,136 $ 2,100 7,793 $ 6,500 3.02% -16.63%  8,138 $ 26.07%  -4.57%  -1.31%  6.54%  Feesi inl Lieu of Parkl Land, TIAI Rei $ (283,239) $ (25,660) $ (211,753) $ (1,887,506) $ (2,043,324) $ (45,000) Adjusted Annual Revenue: $6,485,075 $ 6,654,042 $ 6,905,030 $ 7,084,445 $ 7,199,981 $7,661,133  1.66%  2.61%  3.77%  2.60%  1.63%  6.40%  4IPage    FY2021 collections. Early sales and use taxi revenue for FY2022 have every indication to be above that in FY2021. Asar result, FY2022 budgeted revenue was changed to the revenue collected in FY2021. Total revenue increased over this five-year period an average of 29.8% per year from FY20171 to FY2021. Revenue decreased between FY2016 and FY2017 where there was $569,226 of police department forfeiture/grant: funds received by the town and the period between FY2017 and FY2018 whichi is explained byt the decrease in feesi in lieu of park land. Thei increase of 26.07% in FY2020 is due primarily to a contribution the Town received for the construction of the Chestnut Roundabout. These funds were returned from NCDOT to the Town and are included in the FY2021 revenue. If these amounts were removed from the year over year comparison, each year shows an increase in revenue with an average over the five-year period of 2.45% per year. Another item to note with these types of revenue streams for forfeiture funds and grants, is that they have related expenditures that offset these FY2022 budgeted revenue was not included in the five-year average above which represented an increase of 6.41% over FY2021 when the adjusted annual revenues are compared. This increase is primarily due to the countywide revaluation of property values which increased the budgeted FY2022 ad valorem tax by 15.7%. While assessed tax values for the Town increased 31.2%, the revenue neutral taxi rate of 16.6 decreased the Town's current rate of 21.5 by 4.9 or 23%. The Town Council approved a rate 18.6 which was 2.01 higher thani the revenue neutral tax rate to be used for the work needed on road repairs and parki improvements. The reduction in the Town's tax rate caused the decrease in budgeted motor vehicle tax by -15.7%. Sales and Use tax budget for FY2022 was also decreased based upon the large increase in FY2021 from the impacts of the COVID virus but has been raised in the analysis to the FY2021 revenue since early collections in FY2022 have been higher than those received Taking the analysis one step further, approximately 91% of the Town'sr revenue is driven by ad valorem, sales tax, utility franchise tax and Powell bill funds. Ad valorem tax has grown an average of 2.3% each year from FY20171 to FY2021. If FY2022 is included, the average is 4.61%. Sales and Use tax hasa similar comparison with spike in FY2021 driven by the economy: and effects of the COVID virus which averaged 9.87%. The remaining revenue drivers for utility franchise tax and Powell Bill funds remain  revenues as they are earned or kept in restricted funds for future use.  during FY2021.  consistent year over year with minimal changes each year. Revenue Assumptions for Five Year Financial Plan  The Town will use al look back period off five years and will update the year over year trends annually. These trends will be the basis of the analysis but there are other factors which will be considered in the forecast. Historically, thet town has gone through periods of recession where there were: significant decreases in the construction ofr new homes and home values were reduced. In order to include the possibility of a recession or other escalation in revenue, thei followingi items will also be evaluated int the  analysis:  Union County Tax Office - Estimated' Taxi fori following fiscal year Number of zoning permits issued and execution of development agreements  Union County Tax Revaluations  5IPage    Consumer price indexi fori the county and area  The revenue growth model for the periods from FY2023 through FY2026 will bel based the year over year comparison and thet factors above and will represent the average revenue growth for ai five-year period from FY2018 through budgeted FY2022 of 2.98% as the escalation factor for the model. While there are other factors that will positively impact revenue. such as new neighborhoods and developments, possible hotel tax, andi increases int tax rates, the historical average will provide a conservative estimate since these revenues will also be used to estimate spending.  Uses of General Funds  Departmental expenditures plus appropriations of General Funds for needs such as capital projects account fori the uses of General Funds. For this analysis, the focus willl be on the departmental expenditures over the last 5y years. As displayed in Exhibit 2, these expenditures have fluctuated from FY2017 to FY2022. These changes are due to many factors most of which are thet following:  FY2017- - Decrease in spending of 4.4%1 from prior year with at focus on adding to fund balance FY2018- - Large increase in expenditures in the areas of Planning for 4 Small Area plans, Parks for Master planning services and in General Government for design costs related to the New Town FY2019 - Ini total costs were close to FY2018 with as small decrease of 0.3%. Expenditures reduced mainly due to the demolition of the Civic Building and the construction of the Public Works building and New Town Hall. Several capital expenditures within the departments were FY2020- -T The increase of 27.5% is due toi the costs associated with the Chestnut Roundabout of $1,946,747 (which had offsetting revenue of $1,684,247). Removing this cost, the increase from FY2021 - Reduction in expenses of 4.3% due to difference Chestnut Roundabout difference FY2022 - Budgeted increase of 6.9% due to additional road repair work of $275,000 as well as  and minimal capital expenditures for the year.  Hall and public works buildings.  delayed to FY2020 due to lack ofs space.  prior year is only 0.7%. noted in FY2020.  construction of Vickery portion of Blair Mill Greenway of $550,000.  6IPage    Expense Analysis byl Department  Exhibit2  Growth  FY2022 Budget  FY2017 FY2018 FY2019 FY2020 FY2021 in5Years $1,105,745 $1,194,897 $ 1,175,978 $1,267,448 $1,550,092 40.2% $ 1,472,900 200,411 $ 323,042 $ 280,456 $ 258,103 28.8% $ 297,400 $2,285,843 $2,431,793 $ 2,389,097 $2,259,878 $2,292,877 865,193 $ 755,422 $ 729,619 $2,651,446 $2,011,673 132.5% $ 1,236,800 885,217 $ 906,820 $ 885,833 $ 945,978 $ 958,668 348,067 $ 490,294 $ 405,282 $ 326,667 $ 415,598 19.4% $ 404,600 424,237 $ 543,671 $ 595,713 $ 559,730 $ 451,336 $5,914,302 $6,523,308 $ 6,504,564 $8,291,603 $7,938,347 34.2% $ 8,484,100  General Government PublicWorks Public Safety Transportation Sanitation Zoning & Planning Park & Rec Total YOY Change Adjusted Expenditures Adjusted) YOY Change  $  0.3% $ 2,731,100 8.3% $ 1,050,600 6.4% $ 1,290,700  -4.4% -5.7%  10.3% 3.6%  -0.3% 4.19  27.5% 0.7%  -4.3% -1.0%  6.9% 1,013,900 7,470,200 18.9%  Less Expenditures not tor repeat $ 77,500 $ 473,559 $ 206,100 $1,946,747 $1,656,269  $5,836,802 $6,049,749 $ 6,298,464 $6,344,856 $6,282,078  Exhibit 2 uses two different approaches in calculating the YOY expenditure increases:  The first YOY change in blue shows the total departmental spend and the increase from prior The second YOY change in orange removes the outside services that would be considered one- Analyzing further, the FY2017 decrease ini total expenditures is unusual. During the year prior, a number of staffing positions were added and the focus was to stabilize the expenditures in FY2017 which included few capital expenditures compared to other years. Duet to this being a year that was not the norm, the chart below shows average increases whichi include FY2016 and prior (six-year average) and  year.  time costs which normalizes the expenditures year over year.  average changes that exclude FY2016 (5 year average).  YOY changes  Total Cost 5.94% 8.02%  Adjusted Totals 3.45% 5.28%  6year Average FY2017toFY2022 5year Average FY2018to! FY2022  Based on the historical spend by department, the rationale fori the forecasted expenditures will be the  following:  FY2022 Budget - Will bei included in the YOY averages and bet the starting point for the Escalation factori for expenditures will be 4.37% per year which is the average of the 5-year average adjusted total cost (5.28%) and 6-year average adjusted total cost (3.45%). While this is significantly less thani the YOY increase for FY2022 of 6.9%, this enables the Town to plan conservatively fori future expenditures while having enough growth for departmental needs. Powell Bill Funds willl be used for road repairs and revenue taken in willl be equal tot the  forecasted expenditures.  expenditure for the year.  7IPage    General Fund Long Term Planning Summary  Based on the analysis on sources and uses of funds, the following factors willl be used for thet five -year  forecast model:  Ratest to be usedi for the analysis:  Revenue (Sources) Escalation Expenditures (Uses) Escalation  2.98% 4.37%  These assumptions will be reviewed during the budget process and thet five-year projection will be  updated annually based on operations oft the last fiscal year. General Fund Five-Year Financial Plan  Forecasted Revenue  FY2022 was budgeted with as significant increase in property values based on the countywide property revaluation. While the Council effectively reduced the tax rate from 12.5 down to 18.6, this still resulted in an increase in ad valorem revenue of $588,044. Overall FY2022 revenues decrease from $9,243,305 in FY2021 to $7,706,133. Ifwer remove the passthroughi revenue from the Chestnut roundabout and grants from the revenue lines, there is actually a 6.4% increase in revenue budgeted for FY2022 moving The revenue forecast below shows Actual results for FY2020, unaudited FY2021, adjusted budgeted FY2022 and projected revenues through FY2026 using an escalation factor of 2.98% each year:  from $7,199,9811 to $7,661,133.  Actual Unaudited Budget FY2020 FY2021 26.07%  FY2022 -16.63%  FY2023 2.98%  FY2024 2.98%  FY2025 FY2026 2.98%  Revenue Projections  $8,971,951 $9,243,305 $ 7,706,133 $ 7,935,776 $ 8,172,262 $8,415,795 $8,666,586  3.029  2.98%  Forecasted Expenditures  Similar to revenue above, the chart below shows Actual results for FY2020 and unaudited FY2021, budget for FY2022 and forecasts for FY2023 to FY2026 using an escalation factor of 4.37% each year:  8/Page    Actual Unaudited Budget  Expenditures by Dept. FY2020 Public Works Publics Safety Transportation Sanitation Zoning & Planning Park & Rec Total yoy Change  FY2021  FY2022  FY2023  FY2024  FY2025  FY2026  General Government $ 1,267,448 $ 1,550,092 $ 1,472,900 $ 1,407,936 $ 1,469,446 $ 1,533,644 $ 1,600,647  $ 280,456 $ 258,103 $ 297,400 $ 273,864 $ 285,829 $ 298,316 $ 311,349 $ 2,259,878 $ 2,292,877 $2,731,100 $ 2,665,058 $2,781,491 $2,903,010 $3,029,838 $2,651,446 $ 2,011,673 $ 1,236,800 $ 763,771 $ 797,139 $ 831,965 $ 868,312 $ 945,978 $ 958,668 $ 1,050,600 $ 1,096,499 $ 1,144,403 $ 1,194,401 $1,246,582 $ 326,667 $ 415,598 $ 404,600 $ 422,276 $ 440,725 $ 459,980 $ 480,075 559,730 $ 451,336 $ 1,290,700 $ 705,220 $ 736,030 $ 768,186 $ 801,747 $8,291,603 $ 7,938,347 $ 8,484,100 $7,334,625 $ 7,655,063 $7,989,501 $ 8,338,550  27.47%  -4.26%  6.87%  -13.55%  4.37%  4.37%  4.37%  Note that FY2023 expenditures decrease 13.55% on the above projection due to adjustments madei to the FY2022 departmental expenditures for CIP items before the escalation factor was applied:  Administrative department - removed Town Hall front entry $28,900, computer replacements $20,000 and DFI Downtown Feasibility Assessment $75,000. Public' Works - removed HVAC repairs $20,000 and zero turn mower $15,000. Public Safety - removed all of the capital purchases including vehicles $177,600. Transportations department- reduced for Atrium roundabout signage of $200,000, master plan update $25,000 and additional road work of $275,000 ($663,700 less Powell Park and Recreation Department - reduced for Greenway and park improvements of  Bill Revenue). $615,000  General Fund Debt Service Payments  In. January 2019, the Town entered into a $2,918,000 direct placement contract to finance a new town hall building and public works building. The property is pledged as collateral for the debt while the debtis outstanding. The financing contractrequires principal payments beginning in the fiscal year ending 2020  with ani interest rate of3.45%.  Annual debt service payments oft the installment purchase as of. June 30, 2021 is as:  Governmental Activities Principal 291,800 $ 291,800 291,800 291,800 291,800 875,400 2,334,400 $  Year Ending June 30 2022 2023 2024 2025 2026 2027-2029  Interest 78,015 67,947 57,882 48,423 37,752 53,562 343,281  $  $  9IPage    General Fund Five-Year Financial Plan Model  Combining the logic from the revenue and expenditure projections, the forecast model below works and  follows:  Uses General Fund Revenues less expenditures to show projected excess revenues or deficits Calculates the projected unassigned fund balance based on operations and debt obligations. Thei information provided by the model can now be used as at tool to evaluate future capital projects and shows the impact they would have on the Town as it relates to available funds. The Town can evaluate is they have the available funds during that time period and help make decisions on using fund balance,  based on operating expenses  Identifies debt payments to be made for thei forecast period by fiscal year  borrowing more funds or even ift the project is feasibly possible.  10/Page    General Fund Five-Year Financial Plan  Asof10/1/2021  GENERALFUNDI REVENUES andE EXPENDITURESI FORECASTS  Budget FY2022  FY2021  FY2023  FY2024  FY2025  FY2026  GF Revenue Forecast Restricted (Powell Billa and other) Total GF Revenues  $8,854,613 $ 7,317,433 $ 7,547,076 $ 7,783,562 $ 8,027,095 $ 8,277,886 388,692 $ 388,700 $ 388,700 $ 388,700 $ 388,700 $ 388,700 $9,243,305 $ 7,706,133 $ 7,935,776 $ 8,172,262 $ 8,415,795 $ 8,666,586 7,938,347 8,484,100 7,334,625 7,655,063 7,989,501 8,338,550 $1,304,959 $ (777,967) $ 601,151 $ 517,199 $ 426,294 $ 328,036  -16.63%  2.98%  2.98%  2.98%  2.98%  GF Forecasted Expenditures (noti including Debt)  REVENUES OVERE EXPENDITURES  Revenue Forecasti is conservatively based onh historical dataa and assumed at 2.98% each year Expenditures are Forecastedi toi increase 4.37% eachy year and does noti include debts service payments  Budget FY2022 78,015  DEBTSERVICEPAMENTS Principal Interest (Paidi Monthly) Debt Service Due  FY2021 87,248  FY2023 67,947  FY2024 57,882  FY2025 48,423  FY2026 37,752  291,800 $ 291,800 $ 291,800 $ 291,800 $ 291,800 $ 291,800 $ 379,048 $ 369,815 $ 359,747 $ 349,682 $ 340,223 $ 329,552 $ 925,911 $(1,147,782) $ 241,404 $ 167,517 $ 86,071 $ (1,516)  TOTALF PROJECTEDI INCREASE/DECREASE) TOFUNDBALANCE BEFORE NOTABLE ITEMS or LARGE CAPITALI EXPENDITURES GENERALFUND-FORECASTEDUNASSIGNED BALANCE  Budget  FY2021 FY2022 $ $1,598,811 $  FY2023 $ $  FY2024 $  FY2025 $  FY2026 $  Beginning Balance  $4,138,319 $ 6,424,313 $ 5,276,531 $ 5,517,935 $ 5,685,452 $ 5,771,523 $5,737,130 $ 6,424,313 $ 5,276,531 $ 5,517,935 $ 5,685,452 $ 5,771,523 1,066,231 (777,967) 601,151 517,199 426,294 328,036 $6,803,361 $ 5,646,346 $ 5,877,682 $ 6,035,134 $ 6,111,746 $ 6,099,559 $ (379,048) $ (369,815) $ (359,747) $ (349,682) $ (340,223) $ (329,552) $6,424,313 $ 5,276,531 $ 5,517,935 $ 5,685,452 $ 5,771,523 $ 5,770,007 1,770,640 1,770,640 1,770,640 1,770,640 1,770,640 1,770,640 $8,194,953 $ 7,047,171 $ 7,288,575 $ 7,456,092 $ 7,542,163 $ 7,540,647  Less Available Cash neededi for Capital Project Omeraditiom/dedluctions from UnassigedFB Unassigned Fund Balance Available Add Current' Year Revenues over Expenditures Total Available before Debt Service Payments Less CYD Debt Service Payments Net Available Beginning of Next Fiscal Year AddI Minimum! Fund Balance Requirement Reserved! by Council changedt to: 20%1 inF FY2021 Total Funds Available including Council Reserve  11/Page    Ins summary the Five-Year Financial Plan as of FY2022 shows ar number of items that will be used for the future forecasting and planning for thet town. The plan needs to be updated annually due to the uncertainty of current economic conditions. Items to consider from the plan are:  FY2022 includes capital expenditure items ini the forecast since these items were approved during the budget process. For that reason, expenditures are greater than revenues due to the road repairs and greenway costs which created the ($777,967) net margin as shown int the From FY2023 through FY2026, revenues are over expenditures trend downward in the outyears. Town management has historically been below budget for expenditures which resulted in additions to fund balance but for conservative estimates, we are using the estimated revenues Beginning in FY2023 through FY2025, the interest and principal will be paid by using current year revenue. Beginning FY2026, the Town will be using fund balance to make the principal Current operations and service levels will be maintained int the next five years with room for expenditure escalation, but any large capital expenditures will require the use ofi fund balance. COVID 19, pandemic has impacted operations, but we are unsure of the future effects to the revenue streams. Based on FY2021 operations, there has not been anyi indication of a dropi in revenue, but continued closures may eventually effect the Town's finances. FY2022 revenue for ad valorem and motor vehicle taxes was affected by the Union County property tax revaluation increasing revenues for ad valorem taxes but decreasing motor vehicle Impacts oft the Town's Capital Improvement Plan (CIP) are discussed in a later section. This is al living plan and should be used to determine effects of large capital investment on the  forecast above.  and expenses as shown.  payments which was the plan when the Town acquired the debt.  taxes due to the overall dropi in the Town's tax rate.  Town's financial fund balance and overall financial stability.  12/Page    Enterprise Funds  Enterprise Funds account for business-type activities of the Town. These activities provide services where most of the costs are recovered through user fees or charges. The Town has two Enterprise  Funds.  Sewer Fund - received revenues from charges to property owners to provide sewer connection Storm Water Fund receives its revenues from annual charges to all property owners to fund storm water quality projects, operations and maintenance, capital improvements to the Town's  to the Union County-wide sewer system.  storm water infrastructure system.  Sewer Fund Long Term Planning  Background  The Sewer fund was established when Union County offered to property owners of Stallings to paya one-time fee to connect to the County-wide sewer system. Stallings collected the fees which have been held in escrow int this fund. The current balancel held in escrow is $7,959.31 which represents al handful  of property owners that have not yet taken this election.  Long Term Planning system.  The fund will continue in perpetuity until these property owners have connected to the county'ssewer  13IPage    Storm Water Fund Long Term Planning  The Storm Water Fund was established for the accounting of the costs of operating and maintaining the The Storm Water Fund has consistently remained in sound financial condition from year to year due to The Storm Water Fund has an unrestricted fund balance of $1,195,344 ati fiscal year-end 2022. This balance continued to grow year overy year as revenues for thei fund exceed expenditures but did decrease in 2020 due to at transfer to the General Fund of $208,0001 for the construction of the  Town's storm water infrastructure system.  effective management of the sources and uses of the Town's funds.  underground water detention system at Town Hall.  Below is a summary of past and recent year-end fund balance reserves:  Storm Water Fund Net Position Net Investment in Capital Assets Unassigned Total Net Position  2017 63,680  2018 104,293  2019 385,891  2020 576,007  2021 604,622  881,418 1,152,240 1,284,670 1,065,701 1,195,344 $ 945,098 $ 1,256,533 $ 1,670,561 $ 1,641,708 $ 1,799,966  Sources of Storm Water Funds  The: source of revenue in the Storm Water Fund are fees charges annually to all property owners. The fee structure is based on whether the propertyi is for commercial or residential use. Commercial Storm Water Fee $33 per ERU (Equivalent Residential Unit = 2,060sq.ft.) Fees are assessed annually and are billed and collected along with property taxes. Exhibit 4 below displays Storm Water Fund actual revenue from FY20171 through FY2021 and budget value for FY2022.  Residential Storm Water Fee $46 per lot  Revenue by Source Exhibit4  Unaudited Budget  FY2017 FY2018 FY2019 FY2020 FY2021 488,516 $ 493,804 $ 474,935 $ 475,932 $ 477,030 $ 490,100  FY2022 2.74%  Storm' WaterFees & Interest YOY Change  1.48%  1.08%  -3.82%  0.21%  0.23%  Storm Water revenue is consistent from FY2017 through FY2020 except for the drop in FY2019. The fee structure for the Town has not been changed since 2014 which makes the revenue flow as unfluctuating asi indicated. While the budget for FY2022 represents an 2.74% increase, management feels that the 0.22% average increase from FY20201 through FY2021 is more representative of the projected revenues  for this fund. 14/Page    Use ofStorm Water Funds  Expenditures from this fund are used for operation and maintenance, capital improvements, and infrastructure replacement relating specifically toi the Town's storm water system. The Town: stormwater control authority currentlyi includes responsibility within the public right of way andi in the design ofr new developments. Repair and maintenance beyond the right of wayi is the The Storm Water Fund expenditures fluctuate from year to year as depicted in Exhibit 5 below. These fluctuations are due toi the number ofs storm water projects identified and remediated within the specific fiscal year. The Town has been building a reserve ini the fund that would be large enough to repair 2 major storm water events. This amount has been identified by Council to be at $1,000,000. From FY2017 to FY2022, the expenditures for the fund were less than the revenue fori the year which built this During FY2019 and FY2020, storm water expendituresincreased due the number of storm water repairs completed by the Town as shown in Exhibit! 51 below. The Town completed 24: storm water projects in  responsibility of the property owner or related HOA.  reserve.  FY2019, 26 projects in FY2020 and 21 projects in FY2021.  Expenditures Exhibit5  Unaudited Budget  FY2017 FY2018 FY2019 FY2020 FY2021  FY2022  Storm Water Expenditures! less contingency YOY Change  $ 4 245,268 $ 182,369 $ 274,299 $ 296,785 $ 320,111 $ 467,100  -36.85% -25.65% 50.41% /  8.20%  7.86%  45.92%  Storm Water Fund Long Term Planning Summary  Based on the historical information analysis on sources and uses off funds, the following factors willl be  used for the five -year forecast model: Rates to be used fori the analysis:  Revenue (Sources) Escalation  0.32%  Expenditures (Uses) Escalation - Annually expenditures are budgeted to equal revenue with any excess at year-end adding to the net position of thet fund. During FY2022 budgeting process, Council voted to include a contingency in the expenses that would have tol be appropriated to be used that year. Included in the FY2022 budget, a contingency of $23,000 was deducted from the total expenditures for this purpose. For planning purposes, the average increase from FY2020 to FY2021 was 8.03%. For projections from FY2022 andi forward, the FY2021 actual expenses will be escalated by 8.03% in the out years. Any larger maintenance projects that  would exceed budget would require fund appropriations.  15/Page    These assumptions will be reviewed during the budget process and thet five-year projection will be  updated annually based on operations of the last fiscal year.  Storm Water Fund Five-Year Financial Plan  Asof10/1/2021  STORMI WATERE FUNDI REVENUES: and EXPENDITURES! FORECASTS  Projected Budget  FY2021 FY2022 FY2023 FY2024 FY2025 FY2026 477,030 $ 478,079 $ 479,131 $ 480,185 $ 481,241 $ 482,300 320,112 346,361 374,763 405,493 438,744 474,721 156,918 $ 131,718 $ 104,368 $ 74,692 $ 42,497 $ 7,579  SWF Revenue Forecast SWE Expenditures REVENUES OVEREXPENDITURES  0.22% 0.22% 0.22% 0.22%  0.22%  STORM WATERF FUND- FOREÇASTED! UNASSIGNEDI BALANCE  Projected Budget $ 29,661 $  FY2021 FY2022 FY2023 FY2024 FY2025 FY2026 $1,065,701 $ 1,192,958 $1,324,676 $1,429,044 $1,503,736 $ 1,546,233 $1,036,040 $ 1,192,958 $1,324,676 $1,429,044 $1,503,736 $ 1,546,233 156,918 131,718 104,368 74,692 42,497 $1,192,958 $ 1,324,676 $1,429,044 $1,503,736 $1,546,233 $ 1,553,812  Beginning Balance Less Appropriated FundE Balance UnassignedF Fund Balance Available Add Current) YearF Revenuesover Expenditures  7,579  ENDING UNASSIGNEDBALANCE  16/Page    Town of Stallings Capital Improvement Plan (CIP)  The Town adopted a Capital Improvement Plan (CIP) in June of 2013 which was later amended in December of 2014. The policy was adopted "to ensure that planning for future large-scale maintenance and infrastructure projects are properly and formally considered and aligned with Council's strategic direction and that funding for such efforts is identified and forecast SO that these identified efforts and projects are executed in at timely and scheduled manner and are The CIP is ai five-year plan which is updated annually in conjunction with the annual budget process. The CIP will be used along with the Town of Stallings Five-year Financial Plan to evaluate timing and funding for the upcoming capital projects identified ont the CIP. The Five- Year Financial plan projects unassigned fund balance which could be for these type projects. Attached is the most recently approved CIP as well as a copy of the Town of Stallings Capital CIP chart below was adopted by Council in conjunction with the FY2022 Budget in June 2021. Many of the departmental expenses that are considered a necessity to perform the operations oft the town are already included int the budgeted expenditures and forecasted expenditures of the Five-Year Financial Forecast Plan. The items not included are identified and used in the new Since the adoption of the FY2022 Budget, Council signed a purchase agreement on October 15, 2021 for property in the proximity of town hall which in an integral piece of real estate fort the future development of a downtown district. The negotiated purchase price of the property is $2,750,000: and property closing date will be before November 30, 2021. This purchase is not reflected on the CIP but is included ini the forecasted unassigned fund balance chart on page 19  financially sustainable."1  Improvement Plan Policy.  projected General Fund Balance chart.  of this document.  1Town of Stallings Capital Maintenance and Infrastructure Improvement Plan, Policy Purpose, page 1.  17IPage    CMIIP Potential Expenditures Approved. June 2021  Potential Projects  2022 2023 2024 2025 2026  Government Owned Facilities- Buildings, Council Chambers, Communityk House New Community Building- IncludesP Park&R Reco officesa ands storage FrontE Entrancet toOldT Town Hall- Replace Doorsa andi installk Keyf fobe entry Stallings Road Property (3295 Stallings Road)- Demolition Stallings RoadF Property (3255 Stallings Road)- Demolition Town Connectivity- Paris/Greenway/trals Privette RoadF Park Playground Equipment, shade, turfa andf fence (2p phases) Stallings MunicipalP Park StallingsP Park- Sprinklers System StallingsP Park- Signage StallingsP Park- Wifi StallingsP Park- Cameras System( (needs Wifi) StallingsP Park- 2Playgrounds! Replacement BlairN MillP Park BlairN MillPark Signage Blair MillF ParkE Enhancements Blair Mill Park Storage Blair Mill Greenway! (N1)- VickeryP Portion Construction Centrals Stallings Spine- Town Halla andN MunicipalF Park (CS-1) Engineering Construction Town Connectivity- Sidewalks Sidewalks: Lawyers Road( (2A) Equipment  28,900  20,000 20,000  5,000 23,000 28,000 50,000 10,000 TBD TBD 250,000 15,000  10,000 50,000 550,000  275,000  Lawyers Road (2B) (Buckinghamt toe endofjurisdiction)! (S-7) ComputerE Equipment- Repair/Replacement PlanA Annually Police Department- Fleet Repair/Replacement Plan Annually Police Department Lexipol policy! Manuala andG Guardian Tracking Police Department Body Camera Replacement Police Department In-c Car Camera Replacement Police Department Portablel Message Boardfortraficcontrol PublicWorks- Building and Grounds Contingency: asb building ages Public Works HVACE Repair/Replacement Public Works- Smart Meterl Installation- Delayed Public Works- ZeroT TurnN Mower PublicV Works- Vehicle Replacement Planning/Zoning Vehide Replacement Park&R Rec- PickupT Truck &Trailer Park&R Rec- Permanent Structuref forF FarmersN Market Transportation Infrastructure! Improvements: Streetscape: ands Signage Signage- Streets SignChange Gateway Signage @Atrium Roundabout DownT Town DFID DowntownF Feasibility Assessment- Phasel DFID Downtown FeasibilityA Assessment- Phasell Downtowns Site Control8 &I Implementation Costs Street Resurfacing ands Sidewalks- Powell Bill+ +Additional Funds Potter Road/Pleasant Plains Intersection Updatel Transportation! MasterP Plan Total General Government 18 IPage  340,000  20,000 50,000 50,000 50,000 50,000 123,200 126,280 129,437 132,673 135,990 12,000 12,000 12,000 12,000 14,500 14,500 14,500 14,500 27,900 27,900 27,900 27,900 12,000 20,000 20,000 20,000 20,000 20,000 10,000 15,000  10,000 10,000 10,000 40,000 35,000 TBD  50,000  5,000 200,000 75,000 TBD TBD 25,000  Stallings &G Greenways Signage- Const Documents &N MonumentG Gateway! Signage  $ 663,700 663,700 $ 663,700 663,700 663,700 $1,845,200 $ 1,124,380 $1,480,537 $ 1,685,773 $ 879,690    Updated General Fund Forecast Including CIP Projects  Budget FY2021 1,598,811 $  FY2022 FY2023 FY2024 FY2025 FY2026 4,138,319 $ 6,424,313 $ 2,526,531 $ 2,032,255 $ 1,107,935 $ (103,067) $(2,750,000) $ (735,680) $(1,091,837) $(1,297,073) $ (490,990) 5,737,130 $ 3,674,313 $ 1,790,851 $ 940,418 $ (189,138) $ (594,057) 1,066,231 (777,967) 601,151 517,199 426,294 328,036 6,803,361 $ 2,896,346 $ 2,392,002 $ 1,457,617 $ 237,156 $ (266,020) (379,048) $ (369,815) $ (359,747) $ (349,682) $ (340,223) $ (329,552) 6,424,313 $ 2,526,531 $ 2,032,255 $ 1,107,935 $ (103,067) $ (595,572) 1,770,640 1,770,640 1,770,640 1,770,640 1,770,640 1,770,640 $ 8,194,953 $ 4,297,171 $ 3,802,895 $ 2,878,575 $ 1,667,573 $ 1,175,068  Beginning Balance  Less Available Cash neededf for Capital Project Othera additions/deductions: from UnassigedFB Unassigned FundE Balance Available Add Current' Year Revenues over Expenditures Total Available before Debt Service Payments Less CYDebts Service Payments NetA Available Beginning of Next Fiscal Year AddI Minimum Fund Balance Requirement Reserved by Council changedt to2 20% inF FY2021 Total Funds Available including Council Reserve  $  $  Note thati in FY2022 capital purchases listed on the CIP were already included in the FY2022 Budget. The only capital purchase for FY2022 added was for the purchase oft the property adjacent to Town Hall. For FY20231 through FY2026 only projects that included additional funds and were not departmental equipment replaçements werei included ini the cash needed for Also note that this analysis does not include any of the ARP or CRTPO funding that we received or will receive for capital projects. These funds will positively impact the General Fund Balance  capital projects line.  ift they are used on any oft the projects listed on the CIP.  In summary, the available fund balance int the outyears decreases regardless of whether CIP projects are included but do decrease more quickly with the CIP expenditures included int the projections. While the new projects listed on the CIP would be additional expenditures, others listed such as police cameras, building maintenance, computer maintenance, and HVACI replacements are critical to maintain operations. The analysis above also shows revenues more than expenses before debt service and CIP expenses, but they decrease each year. If this trend is accurate, it will be necessary for the Town to use reserves to cover operational expenses. There will not be excess funds to add services due toi the growth in thet town (for example: add police officers to cover. Atrium Hospital) or for other operational needs. Atthat point, there will need to be ai taxi increase for the Towni to maintain healthy fund balances and achieve the long-term goals of the Town while maintaining ai fiscally responsible and  growing community.  19IPage    Chickens  Allow: Yes or No    Background History  Chickens are allowed in Stallings if the property is 2 or more acres (Chapter 91.15 Keeping of Certain Animals Prohibited; Exceptions)  This is not the first-time an ordinance change was requested to allow  chickens - it was previously denied by council  Draft ordinance change, based on best practices from surrounding communities, is being presented to the Council for consideration    Top complaints fielded by town/city's  Crowing Roosters, Crowing Roosters, Crowing Roosters  Odors  Free range = Complaints about the chickens hopping the fences and  entering yards or on the street  Coops too close to a neighboring property  Complaints in Stallings  Chickens on property Roosters    Town/City Comparisons  Union County Indian Trail Yes No Yes  Mecklenburg County Mint Hill Yes*** No No  Stallings [proposed)  Monroe Yes Yes Yes  Waxhaw Yes No Yes  Matthews Yes No Yes  Pineville  1. Are chickens allowed? [lf) Ves Roosters? 2.lfyes, restrictions? Yes Acreage Coop restrictions? Yes Location Confined: 3. Permit needed? Cost  Yes No Yes Smallest lot size 1/4 acre Yes the property line  No  Smallest lots size 1/4 acre Smallest lot size 1/4 acre Unknown  Smallest lots size 1/4 acre Smallest lot size 1/4 acre  Yes  No ordinance  Yes  Yes  No  30ft from any residence and2 251 ft from any property line Not notedi ini the City's 25f ftfi from any residence and5 30ft from any residence and ***considered" "Pets" 30ft from any residence and 25f ft from  25f ft from the propertyl line Ves, to coop *Yes $25 Annually  ftf from the property line 25  Yes, to coop No None  Noted as agricultural Free range, contained w/fence Yes, to coop  ***considered' "Pets" Free range, contained w/fence  No Unknown  *Yes $25 Annually  *Yes $25 Annually  *Yes  Yes  $40.00 one- timei fee None  Penalty, example from First offense: Warning First offense: $50.00 Second First offense: $100.00 Second First offense: $50.00 Second First offense: $50.00 three of thet towns/cities Second offense: $100.00 offense: $75.00 Third Offense: offense: $200.00 Third offense: $75.00 Third Offense: Second offense: $75.00 Third  ***considered "Pets" 30 days tob bringi into compliance:  Penalty $50/violation and/or $50/day forv violations not corrected after the due date.  Third Offense: $300.00 and $150.00 4th Offense $250 Offense: $500.00 subsequent $50.00 per day fine. 5th Offense $500 fine  $150.00 4th Offense- $250 Offense: $150.00 4th fine. 5th Offense- $5001 fine Offense- $250 fine. 5th and seizure/forfeiture oft the Offense- $500 fine and  and seizure/forfeiture oft the animal.  animal.  seizure/forfeiture oft the animal.  4. Who manages the Code Enforcement Officer Town Animal Control Officer Town Animal Control Officer Town Animal Control Officer Mecklenburg County Animal Mecklenburg County Animal Town Animal Control Officer  program?  unless an Animal Control Officer is hired  Control  Control 75to 100 complaints/year  Program just started nol hard data yet    Last Updated: 2022-01-03 Note:  Datab based oni information provided! lbyU Union County and Mecklenburg County, NC. Thisi mapis intendedt tob be usedf for planning purposes only. Other restrictionst tochickeno ownership maya apply.  Stallings  Locations of Chicken Prohibitions - County Line Town of Stallings Limits Roads Interstate NCF Route Local Route Parcels <0.25 Acres Parcels <0.33 Acres Parcels <0.5 Acres  74  N 1Miles  1:40,000  9  74  n  0    Last Updated: 2021-12-20 Note:  Datab basedoni informationg provided! byU Union County andl MecklenburgCountyl NC. Thisn mapis beu used for plannings purposesc only. chicken ownershipr maya apply.  Other  Stallings  Locations of Chicken Prohibitions Countyl Line TownofStallings Limits Roads Interstate NCR Route LocalRoute L Subdivisionst Prohibit Chickens that  G)  9 a C O S S  N Miles  1:40,000  74  O C 8 I    Ordinance Change  (C) Chickens allowed in town; permit.  (1) Live chickens shall be allowed in the town's municipal limits with a valid permit (one  permit per household). No roosters shall be allowed.  + (2) The owner or possessor must pay an annual permit fee in the amount established and/or modified by the Town of Stallings. Annual renewal fees must be paid on or before July 1.  + (3) Before a permit is issued, the Code Enforcement Officer shall verify the size of the property and inspect the premises to verify all other setback and other requirements are met per the ordinance + (4) When a permit is denied for any reason, the applicant shall be given a written explanation of th  reason for denial.    Ordinance Change  + (D) Permit Considerations: An owner or possessor of such animals shall comply with the following applicable provisions before a permit is issued. All shelters described within this section must meet all standards as defined  within the Town of Stallings Ordinance, as noted.  + (1) Chickens are prohibited on lots less than one-fourth acre (10,890 square feet) in size; no more than twenty (20) chickens per acre. The number of chickens shall be proportionate to the acreage (i.e., 5 per 1/3  acre, 10 per % acre, 15 per 34 acre, 20 per acre).  + (2) The chickens must be confined in a coop (no free-range) not less than eighteen (18) inches from the ground. The coop shall be a minimum of 30 feet from the nearest residence other than that of the owner and a minimum of 25 feet from any property line. The coop shall have a minimum of four (4) square feet of floor area  for each chicken, with a maximum of one coop allowed per property.  + (3) The coop shall be kept clean, sanitary, and free from accumulation of animal excrement and objectionable  odors.  + (4) No slaughter or sale of slaughtered chickens is allowed within the Town unless expressly permitted by  the Town's development ordinance;  + (5) The permit may be revoked upon violation of the terms and provisions of this section. Permits shall not be issued and may be revoked if the chicken is likely to endanger the health, safety, peace, quiet, comfort, enjoyment of or otherwise become a public nuisance to nearby residents or occupants or places of business. + (6) Ifr renting, tenants must get written approval from the property owner and must submit the approval with  the permit application.    Ordinance Change  E.F Penalties and Remedies  + (a) Civil Penalties. The Code Enforcement Officer may issue a warning citation for a first offense of this ordinance. The Code Enforcement Officer may issue a civil citation for any subsequent violations of this ordinance, subjecting the violator to a civil penalty of $100.00 for a second offense and $300.00 for the third  offense and subsequent $50.00 per day  (b) If a person fails to pay the citation within 10 days of issuance, the Town may seek to enforce this  ordinance through any appropriate equitable action.  + (c) Each day the violation continues after the offender has been notified of the violation shall constitute  as separate offense.  (d) The Town may seek to enforce this ordinance by using any one or a combination of the foregoing  remedies.  1. Civil Citation  2. Liens for unpaid fines    Pros and Cons  Pros  Residents of Stallings allowed chickens [per ordinance adopted] Aligns with what other neighboring communities are doing  Cons  One Code Enforcement Officer - No Animal Control Officer (Refer to Union County for other than  permitting, inspections, etc.)  Possible code enforcement service level decrease or increase cost  Arough estimate of 2 hours per week;  Likely reduction in code enforcement services or a higher cost  Code enforcement efficiency may be reduced in other areas (tall grass, weeds; debris, etc.) Alternatively, the town could contract out this work or hire other staff; this would result in a highe  cost to the Town  More at onset if adopted  Maintenance (tracking of coops, inspections, re-inspections, permits)    Chickens  Allow: Yes or No    Ordinance Amending Code of Ordinances, Title IX General Regulations, Chapter 91 Animal Control, Section 91.15 Keeping of Certain Animals Prohibited; Exceptions  STALLINGS CAROL  WHEREAS, the Stallings Town Council recognizes the need for an appealing and cohesive WHEREAS, the Stallings Council desires to amend the ordinance to encourage a safe, healthy, NOW, THEREFORE, BE IT ORDAINED that the Town Council of the Town of Stallings, North Carolina amend the Code of Ordinances, Title IX, Chapter 91, Section 91.151 to the following:  community; and and unified community;  CHAPTER 91: ANIMAL CONTROL  Currently reads:  FARM ANIMALS  $91.15 KEEPING OF CERTAIN ANIMALS PROHIBITED; EXCEPTIONS.  (A) Its shall be unlawful for any person to keep any! horse, mule, donkey, pony, hog, cattle, sheep, chicken, turkey, goat or pig within the municipal limits oft the town except ona residentially zoned parcel or tract of land two acres or greater in size. However, horses may be allowed on a residentially zoned parcel or tract one and one-half acres or greater in size. The (B) (1) Any equine animal (horse, pony, donkey or mule) which is being kept on a parcel of land in violation of division (A) above may continue to be kept on the same parcel of land until  list of animals provided above is not to be deemed all-inclusive.  (Ord. passed 6-26-95)  either:  (a) The animal dies; or  (b) The animal is no longer kept on the parcel of land for more than 60 consecutive days. (2) An animal may be kept pursuant toi this section only if it has been registered on or before December 14, 2000. No animal may be substituted for an animal kept under this (Ord. passed 11-13-2000; Am. Ord. passed 9-28-2009) Penalty, see $10.99  section.  Amend to read:  CHAPTER 91: ANIMAL CONTROL FARM. ANIMALS  $91.15 KEEPING OF CERTAIN ANIMALS PROHIBITED; EXCEPTIONS.    (A) Itshall be unlawful for any person to keep any horse, mule, donkey, pony, hog, cattle, sheep, turkey, goat or pig within the municipal limits of the town except on ar residentially zoned parcel or tract of land two acres or greater in size. However, horses may be allowed on a residentially zoned parcel or tract one and one-half acres or greater in size. The list of animals  provided above is not to be deemed all-inclusive.  (Ord. passed 6-26-95)  (B) (1) Any equine animal (horse, pony, donkey or mule) which is being kept on a parcel of land in violation of division (A) above may continue to be kept on the same parcel of land until  either:  (a) The animal dies; or  (b) The animal is no longer kept on the parcel of land for more than 60 consecutive days. (2) An animal may be kept pursuant to this section only if it has been registered on or before December 14, 2000. No animal may be substituted for an animal kept under this  section.  (C) Chickens allowed in town; permit.  (1) Live chickens shall be allowed in the town's municipal limits with a valid permit (one (2) The owner or possessor must pay an annual permit fee in the amount established and/or modified by the Town of Stallings. Annual renewal fees must be paid on or before July1. (3) Before a permit is issued, the Code Enforcement Officer shall verify the size of the property and inspect the premises to verify all other setback and other requirements are met (4) When a permit is denied for any reason, the applicant shall be given a written  permit per household). No roosters shall be allowed.  per the ordinance.  explanation of the reason for denial.  (D) Permit Considerations: An owner or possessor of such animals shall comply with the following applicable provisions before a permit is issued. All shelters described within this section must meet all standards as defined within the Town of Stallings Ordinance, as noted. (1) Chickens are prohibited on lots less than one-fourth acre (10,890 square feet) in size; no more than twenty (20) chickens per acre. The number of chickens shall be proportionate to the acreage (i.e., 5 per Y acre, 10 per % acre, 15 per % acre, 20 per acre). (2) The chickens must be confined in a coop (no free-range) not less than eighteen (18) inches from the ground. The coop shall be a minimum of 30 feet from the nearest residence other than that of the owner and a minimum of 25 feet from any property line. The coop shall have a minimum of four (4) square feet of floor area for each chicken with a maximum of one (3) The coop shall be kept clean, sanitary, and free from accumulation of animal (4) No slaughter or sale of slaughtered chickens is allowed within the Town unless (5) The permit may be revoked upon violation of the terms and provisions of this section. Permits shall not be issued and may be revoked ift the chicken is likely to endanger the  coop allowed per property. excrement and objectionable odors.  expressly permitted by the Stallings Development Ordinance.    health, safety, peace, quiet, comfort, enjoyment of or otherwise become a public nuisance to (6)lfr renting, tenants must get written approval from the property owner and must  nearby residents or occupants or places of business. submit the approval with the permit application.  E.F Penalties and Remedies  (a) Civil Penalties. The Code Enforcement Officer may issue a warning citation for at first offense of this ordinance. The Code Enforcement Officer may issue a civil citation forany subsequent violations of this ordinance, subjecting the violator to a civil penalty of $100.00 for a second offense and $300.00 for the third offense and subsequent $50.00 (b) If a person fails to pay the citation within 10 days of issuance, the Town may seek to (c) Each day the violation continues after the offender has been notified of the violation (d) The Town may seek to enforce this ordinance by using any one or a combination of the  per day  enforce this ordinance through any appropriate equitable action.  shall constitute a separate offense. foregoing remedies. 1. Civil Citation 2. Liens for unpaid fines  (Ord. passed 11-13-2000; Am. Ord. passed 9-28-2009; Am. Ord. passed 1/10/2022) Penalty, see  $10.99  Adopted this the ## day of [month), 2022.  Wyatt Dunn, Mayor  Attest:  Erinn E. Nichols, Town Clerk Approved as toi form: Cox Law Firm, PLLC    Last Updated: 2021-12-20 Note:  Datal based oni information provided! by Union County and] Mecklenburg County, NC. This mapis intended tob bet used for planning purposes only. Other restrictionst toc chicken ownership may apply.  Stallings  Locations of Chicken Prohibitions County Line Town of Stallings Limits Roads Interstate NCF Route Local Route E Subdivisions that Prohibit Chickens  G)  74  N 1Miles  1:40,000  74  74  S    Last Updated: 2022-01-03 Note:  Datal based oni information provided! by Union County and Mecklenburg County, NC.1 This mapis intended tob be used for planning purposes only. Other restrictionsi tochicken ownership may apply.  Stallings  Locations of Chicken Prohibitions County Line Town of Stallings Limits Roads Interstate NCF Route Local Route Parcels <0.25 Acres Parcels <0.33 Acres Parcels <0.5 Acres %  G)  74  N % 1Miles 1:40,000  74